Highlights:

1.              This Circular Letter specifies technical rules for implementation of Bank Indonesia Regulation No. 10/6/PBI/2008 concerning the Bank Indonesia Real Time Gross Settlement System (RTGS Regulation).

2.              This Circular Letter of Bank Indonesia contains the following regulatory material:

a.              Entering of transfer instructions;

b.              Execution of transfer instructions placed by sending customers;

c.               Accurate matching of transfer instructions;

d.              Delivery of funds to the beneficiary customer;

e.              Notices of transfer fees and customer service hours; and

f.                Procedure for calculation of interest and compensation.

3.              If a sending/beneficiary Participants fails to comply with the rules for execution of transfer instructions as referred to in item 2.b, accurate matching of transfer instructions as referred to in item 2.c or delivery of funds to the beneficiary customer as referred to in item 2.d, the customer of that Participant is entitled to interest and/or compensation as provided for in this Circular Letter.

4.              An illustration of the procedure for calculation of interest and/or compensation is presented in an appendix to this Circular Letter.

5.              The obligation to pay interest and/or compensation shall not apply to Bank Indonesia acting in the capacity of Participant.

6.              For Islamic Banks and Sharia Divisions, the rules for charging of interest and compensation shall be adjusted to the applicable Sharia principles.