They support monetary policy implementation by providing an instrument of liquidity management. The Repurchase Agreements (Repo) Market Repos were introduced to manage intra-auction liquidity variations. The vertical repo market reflects repo transactions between primary dealer commercial banks and the central bank. This market was introduced in 2002 by the Bank of Uganda as a mechanism to deal with managing liquidity in the banking system in the interval between auctions of treasury bills. These REPOs are auctioned in a Repo Market. The Capital marketsThis is where financial instruments for raising capital are traded. It involves long term banking. Instruments like stocks are bonds are traded in this market.