New Regulation on the Organizers of Transaction Performance Facilities within Money Markets and Foreign-Exchange Markets

With the ultimate objective of achieving monetary stability, Bank Indonesia (“BI”) is aiming to establish financial markets which are characterized by their integrity and which are fair, transparent, fluid and efficient. In order to achieve these goals, BI has introduced Regulation No. 21/5/PBI/2019 on Organizers of Transaction Performance Facilities within Money Markets and Foreign-Exchange Markets (“Regulation 5/2019”) and the provisions contained therein are expected to ensure good governance and effective risk management by parties which are engaged in the organization of transaction performance facilities within the following markets (collectively referred to as “Markets”):[1]