SET’s FinNet launches payment system service for capital market

BNP Paribas selects Earthport for cross-border payments

The Stock Exchange of Thailand’s (SET) subsidiary FinNet Innovation Network Co., Ltd., just announced that it rolls out the payment system infrastructure in order to enhance efficiency of the capital market’s payment process, in line with the government’s National e-Payment Roadmap. This development underlines SET’s vision “To Make the Capital Market ‘Work’ for everyone.”

SET President Kesara Manchusree said FinNet’s operation is an integral part of SET’s strategic plan for infrastructure development to enhance the capital market’s competitiveness at international level. This infrastructure will centralize 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 sub-committee on the capital market’s payment system development. The system stemmed from the cooperation of SET and related agencies, with tremendous support from the Securities and Exchange Commission (SEC), securities firms and commercial banks.

FinNet has been approved by the SEC to provide the central payment system service for securities trading. At 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, deposits and withdrawals of collaterals, among others. This will benefit all related parties, making it more convenient with higher efficiency for intermediary institutions in the capital market and commercial banks, added Kesara.

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