ECMS

ECMS (Eurosystem Collateral Management System) is a Eurosystem-wide system for managing collateral of banks participating in Eurosystem credit operations. It is a single platform used to record and monitor banks’ collateral and the credit granted against it.

ECMS aggregates information from various sources (such as securities settlement systems and other infrastructures), assesses the eligibility and value of collateral, and calculates the adequacy of each participant’s collateral in relation to the credit received. The system ensures that loans are at all times sufficiently collateralised. The collateral provided is not linked to specific credit operations but is pooled into a single portfolio. The value of free collateral can be used to cover additional credit or to determine the credit line on the T2 CLM account.

ECMS also initiates postings related to credit operations, including interest payments, and processes payments related to collateral-related corporate actions.

ECMS harmonises processes and rules across the euro area, enabling the cross-border use of collateral throughout the Eurosystem. It also helps avoid duplication of development efforts related to collateral management in different national central banks and ensures a level playing field for monetary policy counterparties across all euro area countries.

ECMS was launched in June 2025.

You can read more about ECMS on the European Central Bank’s website (in English)