On 4 June, during the St. Petersburg International Economic Forum (SPIEF) 2021, NSD and the Finance Committee of Leningrad Region signed a Memorandum of Understanding (MoU) for Digital Technology Development in the Field of Investment of Region’s Budget Surpluses.
By signing the MoU, the Leningrad Region Finance Committee made a step to further develop digital technologies and new tools to improve the convenience, reliability and security of investment of region’s budget surpluses. Besides, the parties agreed to work together in the field of digitalization. In particular, NSD’s technologies will help the Leningrad Region to complete digital transformation of the cash and liquidity management process in a very short time.
In February 2021, the Finance Committee joined NSD’s Collateral Management System (NSD’s CMS) for repo trades. Over the period of February to May 2021, RUB 6.8 billion worth of liquidity was offered through NSD’s CMS.
Roman Markov, First Deputy Chairman of the Government of the Leningrad Region – Chairman of the Finance Committee: “The signing of the Memorandum is a next step in our cooperation with NSD. Further focus on digitalization will make it possible to automate, as much as possible, processes, settlements, and credit risk management without extra investment of public funds in software development. In choosing a method of digital tool implementation, the Leningrad Region has always sought to use mature technologies implemented within the financial market infrastructure.”
Viktor Zhidkov, Chairman of NSD’s Executive Board: “NSD’s technologies are used by many players in the financial market, including for investment of their surplus cash balances. When designing infrastructure solutions, NSD places emphasis on ensuring reliability, risk management, and effectiveness, which is crucial to our clients from among public creditors. NSD’s Collateral Management System has proved to be effective not only in terms of services that cover transactions of the Bank of Russia and Federal Treasury, but also in terms of helping Russian regions to invest their budget surpluses.”