correspondent central banking model (CCBM)

What is correspondent central banking model (CCBM)?

correspondent central banking model (CCBM) definition and meaning on Finance terms:
A mechanism established by the European System of Central Banks with the aim of enabling counterparties to use eligible collateral in a cross-border context. In the CCBM, national central banks act as custodians for one another. This means that each national central bank has a securities account in its securities administration for each of the other national central banks and the ECB. <

 

reference: https://www.ecb.europa.eu/home/glossary/html/index.en.html

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