Issuers of short, medium and long term international debt securities have the option of utilising a new form of global note, known as the New Global Note or NGN.
The new form of global note was introduced jointly by the two international central securities depositaries (ICSD), Euroclear Bank SA/NV and Clearstream Banking, Luxembourg, following a recommendation by the Eurosystem of Central Banks regarding the issuance, processing and custody of international debt securities.
The NGN structure
The NGN structure will be relevant to parties involved in the issue of international debt securities which are in bearer form and deposited with an ICSD. In particular, the NGN structure is mandatory as of 1 January 2007 for an issuer based in a European Economic Area (EEA) country or in any other G10 country (Qualifying Issuers) if that issuer intends for the issue of such securities to constitute eligible collateral for Eurosystem operations.
