Eurosystem-wide collateral management system will merge 19 national systems into a single platform and will replace the existing systems in an effort to increase overall efficiency.
The ECMS will allow changes to the existing collateral framework to be implemented in a harmonised way across the euro area.
The collateral project follows hot on the heels of the completion of the final phases of the Target2-Securities and Target2 settlement initiatives.
Alongside the approval of the ECMS, the European Central Bank also signed off on plans to consolidate the two platforms by November 2021.
The central banks of Germany, France, Spain, and Italy will act as service providers for both projects.