The Stock Exchange of Thailand (SET) has set an ambitious target to lift its daily average trading turnover to 100 billion baht by 2020 as part of an effort to underscore its role as a leading regional exchange and one of the world's most attractive markets, its newly appointed head says.
The SET will set up a long-term business plan to serve the Asean Economic Community, says Mrs Kesara. Kosol Nakachol
The SET's daily trading value has averaged 32-33 billion baht this year.
The exchange largely continues to adhere to the 2014 business plan outlined under former president Charamporn Jotikasthira, president Kesara Manchusree said during her first press briefing since she took office this month.
She said the bourse is likely to achieve its target of achieving 210 billion baht in market capitalisation from newly listed companies this year after reaching 91 billion baht by the end of last month.
Thailand Futures Exchange (TFEX), a subsidiary of the SET, has already increased its daily trading value target this year from 75,000 to 100,000 contracts. TFEX's average turnover is 71,000 contracts this year and its trading value hit an all-time record of 260,000 contracts on Monday.
The SET will also call on the National Council for Peace and Order to use an infrastructure fund as a fund-raising instrument for infrastructure investment as it will be a win-win alternative for related parties.
The fund can broaden investment options for investors, while the SET can add more interesting products to boost its market capitalisation.
"The SET remains attractive despite the recent political tension. The military's takeover has made a clearer economic picture and restored investors' confidence, as seen by the SET index's run-up day after day," said Mrs Kesara, adding that foreign investors have come back to buy Thai shares since Monday.
Under her reign, the SET will continue to coordinate closely with other exchanges such as the Agricultural Futures Exchange of Thailand, the Thai Bond Market Association and gold traders to facilitate investors in the long term.
The SET has also kept its collaboration with other regional exchanges in addition to the Asean Linkage programme.
Mrs Kesara said the SET in the long run will be the same as exchanges in advanced economies that facilitate investors to access all products.
"The SET will set up a long-term business plan to serve the Asean Economic Community and to be among the world's best stock markets, so we are looking forward to sharpening our market competitiveness to achieve our long-term goal," she said.
She said the key milestone plan under her four-year term is to strengthen the bourse by increasing the number of listed firms and setting up an SME trading board to allow small and medium-sized companies to use the capital market as a funding source. However, the SME board needs cooperation from many organisations.