Business continuity

Business continuity covers organisational, technical and staff management measures prepared in order to ensure the performance of essential operational functions during contingencies. Business continuity in the financial sector is especially important for those institutions, whose uninterrupted operation influences stability of the financial system of Lithuania, i.e. the Bank of Lithuania, largest banks of Lithuania, the Central Securities Depository of Lithuania, AB NASDAQ OMX Vilnius and other institutions.

Payment and securities settlement systems make a direct impact on a smooth functioning of financial markets and an indirect impact on each person that performs funds transfer or securities settlement operations. Within one year, the total value of operations processed by the systems exceeds the national GDP several times. Therefore, system operators have to ensure uninterrupted availability of settlement services.

General aspects of business contintuity are indicated in various international standards, recommendations and principles. The Core Principles for Systemically Important Payment Systems established by the Bank for International Settlements (Core Principle 7: Security and Operational Reliability), the Eurosystem’s Business Continuity Oversight Expectations for Systemically Important Payment Systems and the Recommendations for Securities Clearing and Settlement in the European Union established by the European System of Central Banks (ESCB) and the Committee of European Securities Regulators (CESR) (Recommendation 11: Operational Reliability) are most often applied to the systems. The Bank of Lithuania applies these requirements to payment systems LITAS-RLS, LITAS-MMS and the securities settlement system.

Market participants and other persons interested in business continuity are invited to use the European Central Bank’s information on business continuity initiatives and business continuity glossary (in English).