KPEI Reregulates Provisions on Clearing and Settlement Guarantees for BEI Transactions Involving Equity Securities

In response to rapid growth in the number of customers during the last few years which has resulted in an increase in the volumes, values and frequencies of the transactions that are being completed through PT Bursa Efek Indonesia (“BEI”), it has been deemed necessary to simplify the BEI transaction settlement process so that it can be implemented more efficiently and effectively. In order to effect this simplification and to improve the provision of services relating to the clearing of guarantees for the settlement of BEI transactions involving equity securities, the Board of Directors of the PT Kliring Penjaminan Efek Indonesia (“KPEI”) has now issued an updated version of Regulation No. II-5 (“New Regulation II-5”) on Decree No. Kep-016/DIR/KPEI/0822 of 2022 on Clearing and Guarantees for Settlements of Exchange Transactions for Equity Securities (“Decree 16/2022”).[1] Through the issuance of Decree 16/2022, Regulation II-5 (“Old Regulation II-5”), which was previously attached to Decree of KPEI No. KEP-027/DIR/KPEI/1118, has now been replaced and repealed.[2]