Since the implementation of the financial innovation policy in September 1997, and along with the financial liberalization and internationalization, the government has issued bonds by registration, and arranged bond sales transfer, and principal and interest payment with computer registration through Central Bank host connection. Moreover, bond and security settlements and depository systems have been processed with the system connection practice since April 2004. Under the circumstances, bond and security trade and settlement has entered a non-materialized mode of operation. Market participants and investors have completed security transfers and sum payments by PC connectivity. Central Bank has planned actively thereafter the RTGS of interbank funds transfer system. Non-materialized security/bond clearing and settlement and deposit are also included in the RTGS for process.
In response to major financial policy reformation, International Integrated System, Inc. (IISI) has been contracted by banks to construct xBond Central Government Bonds System and ICB Bond and Bill Clearing and Settlement System since 1997. IISI has also constructed Central Bank Interbank Funds Transfer and Settlement System for domestic banks, provided comprehensive security/bond settlement and clearing solutions, eliminated the risk of accepting bonds and market clearing and settlement, ensured transaction security, and promoted bond market diversification and liquidity.