The China Securities Regulatory Commission (CSRC) has set a date for the official launch of reforms to introduce delivery versus payment (DVP) to the Chinese securities sector.
CSRC announced on 19 December that following the completion of preliminary registration work, its DVP reforms would officially commence on 26 December.
The move comes after CSRC began preparatory work for the reform agenda at the start of 2022, as well as made amendments to the “Securities Registration and Settlement Administrative Measures” (证券登记结算管理办法).
DVP is a settlement method adopted by the securities industries of other countries to ensure that securities are only transferred following the completion of payment.
CSRC said that it hoped the introduction of DVP to China would “further strengthen the development of capital market infrastructure, and create capital markets which are standardised, transparent, open, vital and resilient.”