The settlement of European securities is proceeding normally on Friday, following the resolution of a significant IT failure in the TARGET 2 Securities (T2S) system. The European Central Bank (ECB) reported on Thursday evening that the ‘incident has been resolved’ and that TARGET 2 Securities, the securities settlement system processing $1.9 trillion worth of transactions daily, resumed normal operations at 6 PM.
It is worth noting that during the previous day, technical difficulties arose in the payment systems of the euro area, specifically in the TARGET systems T2, T2S, and TIPS, which hindered the settlement of interbank transactions for credit transfers, direct debits, and cross-border instant credit transfers between payment service users. – ‘The issues affect transaction processing and communication among participants; however, they do not impact the execution of intrabank transactions. The Eurosystem, as the administrator, is actively working to resolve the issues and is taking all necessary measures to restore normal operations as soon as possible. A gradual stabilization of the system is expected following the ongoing technical interventions. After the issues are resolved, a delay in the end-of-day processing in the T2 and T2S systems is planned to allow for the processing and settlement of all received transactions,’ the Croatian National Bank (HNB) stated earlier.
