The House of Representatives (“DPR”) on 31 May 2011 has just passed the Bill on Currency into a law (“Law”). The passage of the Law in essence serves to implement Article 23B of the 1945 Constitution fourth Amendments (“Constitution”). Article 23B of the Constitution stipulates that currency types and value shall be provisioned by a regulation of a level of a law.
Up until the passage of the Law, Indonesia had no law on currency, where the philosophy of the Law Lies the objective to advance the welfare of Indonesian citizens, to which it aims to promote Rupiah currency usage in economic activities not just at the national level but also at the international level.
Article 2 (2) of the Law stipulates existence of two types of Rupiah: banknotes and coins. Furthermore, the Rupiah currency is symbolized by “Rp”, in which Article 3(2) provision that ‘one rupiah’ is equivalent to ‘one hundred cent’.
Pursuant to Article 5 (1) of the Currency Law, every Rupiah banknote should, at least, contain:
|
a.
|
the state symbol of “Garuda Pancasila”;
|
|
b.
|
the phrase “Negara Kesatuan Republik Indonesia” (Unitary State of the Republic of Indonesia);
|
|
c.
|
a denomination in numbers and letters;
|
|
d.
|
signature of the government and Central Bank;
|
|
e.
|
a serial number denomination;
|
|
f.
|
a text “DENGAN RAHMAT TUHAN YANG MAHA ESA. NEGARA KESATUAN REPUBLIK INDONESIA MENGELUARKAN RUPIAH SEBAGAI ALAT PEMBAYARAN YANG SAH DENGAN NILAI…” (By the grace of God Almighty, the Unitary State of the Republic of Indonesia issues Rupiah as an official payment instrument with the value of…); and
|
|
g.
|
Year of issuance and printing
|
Management of Rupiah is regulated under Article 11. It covers the planning, printing, issuing, distributing, revocation and withdrawal, and extermination of the Rupiah currency. The planning, printing, and extermination of Rupiah will be conducted by Bank Indonesia in coordination with the government. However, Bank Indonesia remains the only institution authorized to issue, to distribute, to revoke, and to withdraw from circulation of the Rupiah currency.
Pursuant to Article 21 (1) of the Law, Rupiah has to be used in:
|
a.
|
Payment transactions;
|
|
b.
|
Obligation settlements which uses money;
|
|
c.
|
Other transaction that takes place in Indonesian jurisdiction.
|
However, Article 21 (2) provision exception for several transactions, such as:
|
a.
|
Certain transactions related to state budget;
|
|
b.
|
Income and grants, from and to foreign countries;
|
|
c.
|
International trade transactions;
|
|
d.
|
Foreign currency savings in a bank; and
|
|
e.
|
International funding transactions
|
The Law consist of 12 Chapters and 48 Articles, where it repeals and replaces Article 2, 19, 20, 21, 22, and 23 of Law No. 23 of 1999 on Bank Indonesia as amended by the Law No. 6 of 2009.
In accordance with Law No. 10 of 2004 on the Formation of Laws and Regulations, the date of enactment will be within 30 days of the Law’s passage, or when signed by the President, whichever is the earliest. At that time the Law will be assigned a number.
......
Ada Pertanyaan? Hubungi Kami 
Professional Solutions
University Solutions
Pro
My Workspace
Pro AI
Terfavorit
Allex QnA
Pro Compliance
