Engaging potential suppliers and offering the opportunity for a long-term partnership is a key step in CSE’s bid to seek suppliers with proven international expertise in carrying out similar projects.
The establishment of an Institution to act as a Central Counterparty for all secondary market transactions was announced by the CSE as a key initiative in its strategy to grow into a world-class stock exchange.
Central counterparties are the globally accepted mechanism for minimizing settlement risk and utilize a Delivery Vs Payment (DVP) settlement environment where securities and funds are exchanged simultaneously.
At present, capital market institutions in Sri Lanka use an Automated Trading System (ATS) for trading, and the Central Depository System (CDS) as a depository and for clearing and settlement.
The new CCP system is expected to improve market integration and address key risk elements, including guaranteeing the settlement of cash and delivery of securities for all secondary market transactions.
The RFI document containing a description of eligibility criteria, the scope of work and other relevant information is available for download at the CSE’s website, www.cse.lk.
Respondents to the RFI will receive a detailed Request for Proposal (RFP), with the project being offered to a suitable party under an initial contract for five years.
The successful completion of the initial phase of the project to identify business requirements and develop an Inception Report has paved the way for the CSE to issue the RFI.
About CSE
The Colombo Stock Exchange (CSE) operates the only stock market in Sri Lanka and is responsible for providing a transparent and regulated environment where companies and investors can come together.
The CSE is a company that is limited by guarantee established under the Laws of Sri Lanka.
The CSE is licensed by the Securities and Exchange Commission of Sri Lanka (SEC) and is a mutual exchange consisting of 15 Members and 21 Trading Members.
All Members and Trading Members are licensed by the SEC to operate as Stockbrokers.
For more information, please visit: www.cse.lk.