The BMV receives authorization to operate central counterparty of debt securities

Mexico joins the select group of countries that have a central securities counterparty that clears and settles debt instruments, which will offer greater security and certainty to national and foreign investors who operate in the government bond market, one of the most relevant in the country.

The Mexican Stock Exchange Group received regulatory authorizations from Banco de México (BdeM) and the National Banking and Securities Commission (CNBV) to operate the central counterparty of debt securities.

The United States, United Kingdom, Spain and Brazil already have similar central counterparts; In the case of the United States, its use will even be mandatory for participants in 2025.

The counterparty will optimize transaction settlement processes, promote transparency, liquidity and market depth, and attract new international investors. It is a fundamental piece for the development of electronic bond operations, among others.highlighted the Mexican Stock Exchange (BMV).

In its first stage, the counterparty will focus on the clearing and settlement of government bonds (M bonds), recognized for their high liquidity and relevance in the Mexican market. In the coming weeks, the counterparty will begin the process to incorporate banks and brokerage firms as settlement partners for this new service. Later, it will be expanded to include other debt instruments and repo operations.

Jorge Alegría, general director of the BMV, explained that the stock exchange entity has the derivatives chamber, Asigna, and the capital chamber. In the case of debt, there are currently several platforms: brokers or interbank operations.

The debt chamber will begin voluntarily and will not only settle the purchase and sale of bonds, but also repos, which gives operational efficiency advantages to banks and brokerage houses.