The securities of more regional banks, building societies and credit unions will become eligible for use in repurchase agreements with the Reserve Bank of Australia from February. The move, announced by the RBA yesterday, may add to demand for their short-term and long-term debt.The RBA will widen the range of securities it will accept under repurchase agreements (or repos) in its domestic market operations, an activity that supports the day-to-day funding of banks and is the cornerstone of its control of the overnight cash rate.The key change is the lowering of the minimum credit rating needed for a deposit-taking institution's securities to qualify. That rating, now A-, will drop to BBB+.Securities that will now qualify include those of Bendigo and Adelaide Bank, Bank of Queensland, Credit Union Australia and NSW Teachers Credit Union.Those credit unions collaborating on a joint wholesale funding vehicle through the Australian Mutuals Group may also benefit once the structure is in place next year.The RBA will also no longer require the issuing ADI to hold an exchange settlement account.Those credit unions seeking to establish an exchange settlement account, such as mecu, may reconsider the need to take this step.Right now, 10 credit unions or building societies have an exchange settlement account with the RBA, though most lack the required credit rating (even once lowered to BBB+) for their securities to be used in repurchase agreements.The RBA has also set out a new margin schedule for repos, and margin requirements on all bank-issued debt and asset-backed securities will be steeper from February than they are at present.