By The Nation
The development underlines the SET’s vision “To Make the Capital Market Work for Everyone”.
FinNet’s operation is an integral part of the bourse’s strategic plan for infrastructure development to enhance the capital market’s competitiveness at the international level, said SET president Kesara Manchusree said.
This infrastructure will centralise the payment process and set standards in connecting intermediary institutions with commercial banks.
The system is built in accordance with the government policy of the National e-Payment Steering Committee and the subcommittee on the capital market’s payment-system development.
The system stems from collaboration between the SET and related agencies, with tremendous support from the Securities and Exchange Commission (SEC), securities firms and commercial banks, she said.
FinNet has been approved by the SEC to provide the central payment-system service for securities trading.
In the initial stage, the service will be provided to 30 securities companies and 12 commercial banks in the form of batch payments, transferring money between accounts in the same bank.
The next phase will cover other payment types in the capital market, such as mutual-fund trading, dividend payment, share subscription, and deposits and withdrawals of collateral.
This will benefit all related parties, making it more convenient with higher efficiency for intermediary institutions in the capital market and commercial banks, Kesara added.