SC First assigned as primary dealer of T-bills

Korea’s Finance Ministry is confident the lender can largely contribute to enhanced circulation of treasury bills.

SC First Bank, the Korean banking unit of Standard Chartered Group, will join a group of 19 local banks and stock brokerages allowed to buy new treasury bills directly from the government.

According to Korea's Finance Ministry, SC First Bank will be officially added to the list of primary dealers in March, raising the number of local financial institutions allowed to buy fresh government bonds to 20.

With another player entering the market, the government said it expects smoother sales of treasury bills worth 77.7 trillion won ($67.6 billion) throughout this year, as reported in JoongAng Daily.

Financial companies designated as primary dealers are allowed to bid on and buy new treasury bills, but they are also required to constantly hold at least 1 trillion won of the bills to remain qualified.