Euronext is expanding its repo clearing services across Europe, with the first phase set to go live in June 2025. In a recent article, Yama Darriet, head of OTC capture and the Repo Expansion Initiative, shared how the project will extend clearing beyond the firm’s traditional Italian market to cover a broader range of euro-denominated sovereign bonds.
The roll-out will begin with Spanish, Portuguese and Irish government debt, followed by French, German, Dutch and Belgian instruments in September. Austrian and Finnish bonds will complete the expansion by December.
A central feature of the initiative is the introduction of triparty clearing through Euroclear Bank, enabling automated collateral selection and management. Darriet emphasised that this development supports growing demand for efficient collateral use and centralised netting.
MTS platform
The timing aligns with major shifts in the repo market, driven by the European Central Bank’s halt to bond reinvestments in early 2025. As liquidity tightens, demand for triparty structures and access to high-quality collateral is rising.
Darriet sees the integration of trading and clearing via Euronext’s MTS platform, handling €180 billion in daily repo volume, as key to delivering a more efficient, scalable infrastructure. The initiative forms part of Euronext’s longer-term “Innovate for Growth 2027” strategy.
