การศึกษาบทบาทของตลาดซื้อคืนและผลกระทบ ที่มีต่อตลาดเงินของประเทศไทย / วิทยา สรรพโรจน์พัฒนา = A study on the role of Repurchase Market and its impact on the Thai money market / Vittaya Sapparojpattana
The establishment of the Repurchase Market in April 1979, represented another step taken by the Bank of Thailand in implementing the Financial Market Development Progrmme. The purposes of the Repurchase Market’s establishment were to create a centre for transferring short term funds among financial institutions as well as to provide the Bank of Thailand with an instrument for implementing its monetary policy with a view to ensure a smooth flow of funds within the country’s economic and financial system among other things. The volume of transaction in the Repurchase Market is indicative of the significant role played by it in responsive to the demand and supply for short term funds among participating financial institutions. Such is the case because the mechanism of the Repurchase Market enables participating financial institutions to adjust to their liquidity needs, and also to efficiently manage their financial portfolios. Moreover, since the levels of interest rates in the Repurchase Market normally reflect the actual demand and supply for funds that exist in the said market, and also move in line with interest rates in international financial markets, the participating financial institutions consequently find the interest rates in the Repurchase Market more flexible than those prevailing in the treasury bills and the interbank markets. The Bank of Thailand, in the capacity of a buyer or a seller in the Repurchase Market, can absorb or inject funds into the financial system so as to see to it that the monetary policy target is properly maintained. In addition, it can also intervene in the Repurchase Market with a view to maintain interest rates at the levels that are deemed appropriate and in line with its monetary policy. Thus the establishment of the Repurchase Market can be regarded as another successful step undertaken by the Bank of Thailand in implementing the Financial Market Development Programme, because it helps increase financial flexibility for the involved financial institutions, and enables the Bank of Thailand to implement its monetary policy more effectively as well as with greater flexibility by ways of money supply and interest rates adjustments.
