Primary Dealers

Primary Dealers are financial institutions authorized by a country's government or central bank to buy and sell government securities, such as bonds, directly with the government and on the open market. They help the government raise funds, ensure liquidity in the bond markets, and provide market expertise. These institutions play a crucial role in maintaining the stability of financial markets by facilitating smooth issuance and trading of government debt, which in turn supports overall economic stability. Their participation is essential for efficient government financing and market functioning.