SEC Deputy Secretary-General and Acting Secretary-General Thawatchai Pittayasophon said that SEC initiated digital infrastructure for capital market in late 2019 with the support from CDMF. The project has been included in the fourth Thai capital market development plan (2022-2027) concerning digital capital market development (Digital transformation). SEC is determined to develop DIF Web Portal into the complete digital infrastructure for the Thai capital market and today's success marks an important turning point in the capital market in connecting the works of market participants to transform into the fully-digitized process to create competitive edge, boost efficiency and enhance the capital market towards sustainable growth.
SEC would like to express gratitude to CMDF; CMDF Digital Infrastructure Co., Ltd.; ThaiBMA; business operator group including securities companies, commercial banks and other relevant agencies; and securities issuers for their dedication to develop the project. SEC will collaborate with all sectors to continuously develop the project, expanding project development, pushing for amendments to laws and regulations hindering the industry, promoting the use of the system and utilizing information to further develop the capital market.
CMDF Vice Chairman Jomkwan Kongsakul said that the allocation of resources for the development of infrastructure related to the capital market is one of CMDF's core missions. The funding for the development of DIF Web Portal is a vital sample of such support. CMDF is delighted to have taken part in supporting the project. Apart from developing a system that has numerous tangible benefits, the project also demonstrates the cooperation among the stakeholders in the capital market. This essence will play a significant role in driving the development of the capital market towards sustainability.
SET President Pakorn Peetathawatchai, as a representative of the main operator, said that DIF Web Portal is a service system for the end-to-end bond offerings in the primary market electronically. The process includes the settlement and delivery of debt instruments in scripless form. This innovative system has been financed by CMDF and is owned by CMDF Digital Infrastructure Co., Ltd. while ThaiBMA is the system operator for day-to-day operations.
ThaiBMA President Somjin Sornpaisarn, on behalf of the system operator, said that ThaiBMA, under DIF Web Portal project, plays a dual role as debt instrument registrar which is one of the association's core missions and the project's business operator. ThaiBMA is proud of taking part in the project and strives to participate in the Thai bond market development to embrace the change in the digital world and the sustainable growth in the future by collaborating with CMDF, the SEC and all sectors to further develop the DIF project to be the digital infrastructure for the Thai capital market.
DIF Web Portal utilizes advanced technology to connect with the digital bond offering transaction system conducted by all sectors involved, in an end-to-end manner, with the digital standard messages. This system has multiple benefits in boosting efficiency in transferring information conveniently, quickly and transparently, while reducing costs, eliminating paper usage, and minimizing redundant work processes. The data transmission is machine readable. Significantly, the infrastructure in the Thai capital market is taking shape and this helps increase the efficiency of the investment ecosystem, and support the development of new investment products in the future.
In May 2023, the first four issuers of bond issued in the system are consisted of (1) PTT pcl, (2) PTT Exploration and Production pcl, (3) Toyota Leasing (Thailand) Co., Ltd., and (4) Kasikornbank pcl for a total funding raised of over THB 6.6 billion (approx. USD 187 million).
The cooperation of all sectors has driven the development of DIF Web Portal to the completion of the first phase of the project. There are currently 16 participants in the sandbox. The project will continue to develop other types of investment processes and products.
Source: SET Corporate Communications