Ladies and gentlemen these various interventions; the auction system, the GSIs, the on-line system and the central depository system, all set the stage for the introduction of the secondary market for government securities, which we are pleased to launch today. How does the primary market differ from the secondary market for government securities?
Simply put, the primary market for a security is the place where an issuer creates the security and sells it into the market; it involves the creation of new securities with the government as seller. The secondary market covers trading of securities after issuance and before redemption.