Russia's central securities depository, National Settlement Depository (NSD) has signed Tuesday a memorandum of understanding with its Egyptian counterpart Misr for Central Clearing, Depository and Registry (MCDR), NSD said in a statement. The signing ceremony took place at the Moscow Exchange Forum. The two parties have agreed to develop their cooperation in order to provide investors with the access to the markets of both countries, to exchange information and experience in the sphere of depository and settlement operations and interactions via correspondent accounts, corporate actions processing and information services. In addition, the parties agreed to cooperate within the framework of the World Forum of Central Securities Depositories (CSDs). Cairo- headquartered Misr for Central Clearing, Depository and Registry was founded in 1994 and commenced operations in 1996. MCDR shares are distributed among participants of the Egyptian market: custodians own 50 percent stake, 45 percent of shares are owned by brokerage companies, and 5% stake belongs to the Egyptian Exchange (EGX). MCDR is the sole organization authorised to conduct clearing and settlement operations with all types of securities traded on the Egyptian Exchange. Moscow- headquartered National Settlement Depository (NSD) is the largest settlement depository in Russia, servicing on-exchange and OTC transactions with all types of debt and equity securities of Russian issuers and providing settlement services to participants in financial markets of the Russian Federation, according to Moscow Exchange's website. NSD provides storage of global certificates and depository accounting for 99 percent of corporate bond issues, sub-federal and municipal bond issues. It services 100 percent of transactions conducted in the federal bond and the Bank of Russia bond markets, more than 99 percent of transactions conducted in the corporate and regional bond markets, the majority of transactions with equities and also services UIT units and securities of foreign issuers. In accordance with agreements concluded between NSD and the Bank of Russia, NSD acts as a settlement center for the organized securities market.
