GUIDELINE (EU) 2022/971 OF THE EUROPEAN CENTRAL BANK
of 19 May 2022
on the Centralised Securities Database and the production of securities issues statistics and repealing Guideline 2012/689/EU (ECB/2012/21) and Guideline (EU) 2021/834 (ECB/2021/15) (ECB/2022/25)
THE GOVERNING COUNCIL OF THE EUROPEAN CENTRAL BANK,
Having regard to the Treaty on the Functioning of the European Union,
Having regard to the Statute of the European System of Central Banks and of the European Central Bank, and in particular Articles 5.1, 12.1 and 14.3 thereof,
Having regard to Council Regulation (EC) No 2533/98 of 23 November 1998 concerning the collection of statistical information by the European Central Bank (1), and in particular Article 4 thereof,
Having regard to the contribution of the General Council of the European Central Bank,
Whereas:
| (1) | The Centralised Securities Database (CSDB) is a single information technology infrastructure operated jointly by the members of the European System of Central Banks (ESCB), including national central banks of the Member States whose currency is not the euro (hereinafter ‘non-euro area NCBs’) where such non-euro area NCBs voluntarily participate in the operation of the CSDB. The CSDB stores item-by-item data, in particular, data on securities, their issuers, prices and ratings. The main processes of the CSDB’s operation comprise input data provision, processing of that input data, carrying out data quality management (DQM) and production and dissemination of output data consisting of item-by-item data and aggregate information. A number of changes to these processes require the adoption of a new Guideline to ensure that there are clear and certain arrangements for the governance of the CSDB. In the interest of legal certainty, Guideline 2012/689/EU of the European Central Bank (ECB/2012/21) (2) and Guideline (EU) 2021/834 of the European Central Bank (ECB/2021/15) (3) , which to date have governed the data quality management framework of the CSDB and the reporting of statistical information on securities issues, should be repealed. |
| (2) | To enhance monetary policy and financial stability analyses for the euro area and the Union, to contribute to the production of secondary statistics, to fulfil the euro area reporting commitments on debt securities issuance statistics in the context of the G20 Data Gaps Initiative and to assess the role of the euro in international financial markets, monthly securities issues statistics covering stock and flow aggregates of securities issuances are produced from CSDB item-by-item data (hereinafter ‘CSEC aggregate statistics’). Accordingly, CSEC aggregate statistics should be compiled in the CSDB, and national central banks of the Member States whose currency is the euro (hereinafter the ‘NCBs’) and the European Central Bank (ECB) should be responsible for the verification of CSEC aggregate statistics and for the DQM of the underlying CSDB item-by-item data. |
| (3) | Providing input data for the CSDB involves collecting data from various sources and transmitting it to the ECB via the CSDB. This collection by the ECB is necessary in order to undertake the tasks of the ESCB, particularly those regarding monetary policy and the stability of the financial system. These sources include the NCBs and the non-euro area NCBs, ECB-internal sources, certain commercial data providers, administrative sources, and the public domain. |
| (4) | To link the security-by-security data collected from different sources and to avoid duplicate records, all securities that are transmitted to the CSDB should be identified uniquely by an International Securities Identification Number (ISIN code).To ensure the correct grouping of the input data provided by NCBs and accurate linking of the CSDB data with other ESCB statistical information, NCBs should provide, as part of their input reference data on issuers, at least one linking entity identifier that is included in the Register of Institutions and Affiliates Database (RIAD). Furthermore, to facilitate the correct grouping of issuer reference data from different sources and accurate linking with other ESCB statistical information, a Legal Entity Identifier (LEI) should be provided when available. |
| (5) | The overall quality of CSDB item-by-item data can only be assessed at the output level, rather than at the level of individual sets of input data. To ensure the completeness, accuracy and consistency of output data, it is necessary to define a DQM framework to be applied to output feed data, which is a subset of output data that can be used to support the production of statistics or other uses. |
| (6) | The CSDB DQM framework should be applied to output feed data regardless of the source of input data. It should lay down the responsibilities of the NCBs and the ECB for the quality of output data in the CSDB. In order to ensure the high quality of output feed data and CSEC aggregate statistics, and to enable the ECB to provide snapshots of output feed data and the CSEC aggregate statistics in a timely manner, NCBs and the ECB should verify output feed data and CSEC aggregate statistics by a specified date. |
| (7) | To ensure the high quality of CSDB item-by-item data and of historical CSEC aggregate statistics, and to support the alignment of NCBs’ national security-by-security databases and the CSDB, NCBs that have improved their input data should provide revised input data files to the CSDB or use the CSDB system to correct the data. |
| (8) | Since the CSDB is operated jointly by all ESCB members, they should all aim to follow the same DQM standards. Where an NCB would like to conduct DQM that affects the CSDB data related to residents in other countries, it should coordinate with the NCBs and the non-euro area NCBs and with the ECB, as relevant, to clearly define the boundaries of such DQM. Moreover, non-euro area NCBs are in the best position to carry out DQM on the data related to issuers residing in their respective Member States. While it is recognised that guidelines adopted by the ECB may not impose any obligations on non-euro area NCBs, Article 5 of the Statute of the European System of Central Banks and of the European Central Bank applies to both NCBs and non-euro area NCBs. This implies an obligation on non-euro area NCBs to therefore design and implement all the measures that they consider appropriate in order to carry out DQM of CSDB output data and CSEC aggregate statistics in accordance with this Guideline. In addition, for the purposes of enabling the ECB to obtain a comprehensive overview of the statistical information collected and to carry out relevant analyses, the national central banks of non-euro area Member States that adopt the euro should be required to provide the ECB with statistical information covering a specified period prior to their adoption of the euro. |
| (9) | To improve the quality of output data, data source management (DSM) should be carried out with the aim of identifying and correcting repetitive and/or structural mistakes in input data. DSM should be carried out by the ECB in relation to input data provided by commercial data sources and by NCBs in relation to their own input data. |
| (10) | Common rules should be established for the publication by NCBs of aggregate statistics using CSDB data to ensure an orderly release of the related key aggregates. |
| (11) | It is necessary to set up a procedure to carry out technical amendments to the annexes to this Guideline in an effective manner, provided that such amendments neither change the underlying conceptual framework nor affect the reporting and DQM burden, |
HAS ADOPTED THIS GUIDELINE:
Article 1
Definitions
For the purposes of this Guideline the following definitions shall apply:
| (1) | ‘Centralised Securities Database’ or ‘CSDB’ means the Centralised Securities Database set up by the European System of Central Banks (ESCB); |
| (2) | ‘input data’ means any data provided to the CSDB from one or more of the following data sources: a) both national central banks of the Member States whose currency is the euro (hereinafter the ‘NCBs’) and national central banks of the Member States whose currency is not the euro (hereinafter the ‘non-euro area NCBs’; b) European Central Bank-internal sources; c) commercial data providers; d) administrative sources; e) the public domain; |
| (3) | ‘input provision bracket’ means a period of working days each calendar month, which is defined by the European Central Bank (ECB) and during which the NCBs may provide input data to the CSDB; |
| (4) | ‘output data’ means item-by-item data that are automatically derived in the CSDB by compounding input data into complete, high quality single data records; |
| (5) | ‘output feed data’ means the subset of item-by-item output data and characteristics listed in Annex III to this Guideline that support the production of statistics or other uses; |
| (6) | ‘CSEC aggregate statistics’ means aggregated securities issues statistics covering stock and flow aggregates of securities issuances produced from item-by-item CSDB output data as specified in Annex IV to this Guideline; |
| (7) | ‘Data Quality Management’ or ‘DQM’ means the activity of ensuring, verifying and maintaining the quality of output feed data and CSEC aggregate statistics through the use and application of DQM targets, DQM metrics, DQM thresholds and specific DQM workflows; |
| (8) | ‘Data Source Management’ or ‘DSM’ means the activity of identifying and correcting directly with a data provider repetitive and/or structural mistakes in input data; |
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