Euronext has launched the Repo Foundation, the first phase of a multi-year initiative to expand repo clearing across Europe. The development forms part of the group’s Innovate for Growth 2027 strategy, which aims to build an integrated post-trade infrastructure for secured financing markets.
The move extends Euronext Clearing’s services beyond its established Italian government bond coverage to include repos on Spanish, Portuguese, and Irish sovereign debt. For the first time, international firms can access the platform either via existing connections or as repo-only participants, states Euronext in a press release. A phased rollout will continue into 2026, eventually covering a broad range of European sovereign bonds and euro-denominated supranational debt.
In Q3 2025, clearing will expand to French, German, Dutch, and Belgian government bonds. Austrian and Finnish debt will be added in Q4, marking the completion of the first wave of sovereign collateral expansion. In parallel, Euronext plans to offer General Collateral baskets through a triparty agent setup, enabling cross-margining and improved capital efficiency, subject to regulatory approval.
By mid-2026, Euronext Clearing will introduce a sponsored access model, allowing buyside firms to clear repos without becoming direct clearing members. This is expected to increase liquidity and broaden participation in the European repo market, according to Euronext.
Collateral and margin efficiency
The initiative comes amid rising regulatory focus on margining, transparency, and procyclicality, including upcoming reforms under EMIR 3.0. Euronext is responding by upgrading its risk and margin models, with the aim of delivering cost advantages over legacy systems.
Collateral optimisation plays a key role. From launch, currencies such as USD, GBP, and NOK will be accepted for margin purposes. In the second half of 2025, Euronext will implement triparty integrations with Euroclear and Clearstream to enhance collateral mobility and operational efficiency.
