BI Regulates Supporting Institutions for Money-Market Transactions Involving Commercial Papers

The Board of Bank Indonesia (“BI”) Governors has issued Regulation No. 19/9/PADG/2017 on Money-Market Supporting Institutions Which Organize Activities Relating to Commercial Papers within the Money Market (“Regulation 19/2017”), which will serve as a set of guidelines for any supporting institutions engaging in money-market transactions involving commercial papers^[1] (“Supporting Institutions”).

Regulation 19/2017 sets out a comprehensive set of guidelines for Supporting Institutions that deal with processes which encompass issuance, transactions, administration and settlements involving commercial-paper transactions. Due to the broad scope of Regulation 19/2017, this edition of Indonesian Legal Brief will limit its discussion to the duties and requirements of the three Supporting Institutions, specifically: