Minimum Capital Requirements for Commercial Banks Revised

Bank Indonesia (“BI”) has issued Regulation No. 15/12/PBI/2013 on Mandatory Minimum Capital Requirements for Commercial Banks (“2013 Regulation”).

The 2013 Regulation amends the provisions governing bank obligations to hold certain funds according to each bank’s risk profile. Additionally, the 2013 Regulation introduces a new obligation for commercial banks to provide additional funds as buffers against economic and financial risks.

Prior to the 2013 Regulation, the same topic was regulated under BI Regulation No. 14/18/PBI/2012 (“2012 Regulation”).[1]