ALREG starts operating in the Albanian Interbank Payment System-AIPS

Publication date: 01.03.2021


On 1st March 2021, the operator of securities settlement system, ALREG, started to operate through membership in the Albanian Interbank Payment System-AIPS. ALREG sh.a. is jointly licensed by the Bank of Albania, as an operator of the system for the settlement of securities, and by the Albanian Financial Supervisory Authority (AFSA), as a registrar, thus complying with the legal requirements required for being considered a Central Depositor of Securities, pursuant to the stipulations laid down in the applicable legislation.

ALRG sh.a becomes a member in the interbank large-value payments system-AIPS, in category “Participants Operators”, sub-category “i”, as an operator in the system for the settlement of securities. The operator, through this participation, aims to conduct the settlement activity of securities transactions in the Stock Exchange, including the issue of private securities and the trading of securities issued in it. ALREG membership as a participant in AIPS is related to the settlement and exchange of cash transactions. This membership is a necessary precondition for the functioning of securities settlement system pursuant to the best international practices by fully guaranteeing the settlement finalisation and the protection of both the system and participants.

Starting to operate today, ALREG will conduct the activity of the securities’ registrar in the Albanian market, for the allowed securities and the activity of securities clearing and settlement as an operator of the system for securities settlement in compliance with the applicable regulatory and legal framework, pursuant to the licenses approved by the Albanian Financial Supervision Authority and the Bank of Albania.

ALREG, in addition to the Albanian Financial Instrument Settlement and Registration system-AFISaR, operated by the Bank of Albania for the registration and settlement of Government securities, is the first private entity of this type being granted the licence and which starts operating in the Albanian market. The completion and functioning of the entire infrastructure required for the processing of post trading transactions marks an important step towards the further development of capital markets and the overall financial markets, thus providing an additional contribution in bolstering the further formalisation of the economy.