Lippo Bank

Lippo Bank is Indonesia's 9th largest bank in Indonesia by the number of the assets. It is controlled by ethnic Chinese Mochtar Riady together with the Lippo Group. Indonesia sold the stake in Bank Lippo as part of asset disposals aimed at cutting the government's budget deficit and recouping the 450 trillion rupiah it spent to bail out banks after the 1997 Asian financial crisis. Swissasia Global bought 52.1 percent of Bank Lippo in February 2004 from the Indonesian Bank Restructuring Agency for $142 million. The agency took control of Bank Lippo from its previous owners, the Riady family, after the government injected funds into the lender in 1999 to boost capital. The family still holds a minority stake, partly through PT Lippo E-Net, which owns 5.6% of the lender. Despite their minority holding, the Riady's retain controlling rights.

On 26 August 2005, the shareholders of the bank and Bank Indonesia have approved the sales of the 52.05% controlling stake held by Swissasia Global to Santubong Investment B.V which was wholly owned by Khazanah Nasional Berhad, the investment arm of the Malaysian federal government. The sales took effect on 30 September the same year.^[1][2]

Because of Khazanah, the holding company of CIMB Group, has an 86.52-percent stake in Lippo Bank through Santubong Investment BV, while CIMB Group itself owns 62 percent of Bank Niaga`s shares through its subsidiary, Bumiputra-Commerce Holdings^[3], Bank Niaga and Lippo Bank have to be merged. On 1 November 2008, Lippo Bank officially merged to Bank CIMB Niaga (former Bank Niaga).^[4]

The bank's United States subsidiary was implicated in the scandal of improper contributions to the Clinton-Gore Campaign. According to a 1998 Senate Governmental Affairs Committee report, by 1992, while employed by Lippo Bank in California, John "Huang began to raise illegal foreign money for the DNC through Lippo-owned shell companies ... " This money, which wound up in Democratic coffers, was ultimately traced to the "greater China region."

"Huang's colleagues at Lippo Bank . . . never understood his corporate duties and described him as a `mystery man,' " the report said.

The History of Bank DANAMON

PT Bank Danamon Indonesia Tbk was established in 1956 under the name of PT Bank Kopra Indonesia, in 1976, the Bank's name was changed to the present name, Bank Danamon Indonesia. The Bank became the first Indonesian private foreign exchange bank in 1976 and a publicly listed bank in 1989.

In 1977, as a result of the Asian financial crisis, Bank Danamon ran into liquidity insolvency and was placed under the supervision of the Indonesian Bank Restructuring Agency (IBRA) as a BTO (taken over) bank. In 1999, the government of Indonesia, thought IBRA, recapitalized the Bank with Rp 32 trillion of government bonds. Within the same year, another BTO bank was merger into Bank Danamon as part of the restructuring programme of IBRA.

In 2000, Bank Danamon took under its wings eight other BTO banks. As the surviving entity, Bank Danamon emerged from the merger as one of the pillar banks of Indonesia.

During the next three years, Bank Danamon underwent extensive restructuring involving management, people, organization, systems, core values and corporate identity. The efforts succeeded in laying down new foundations and infrastructure for the Bank to pursue growth based on transparency, responsibility, integrity and professionalism (TRIP).

In 2003, Bank Danamon was acquired by the Asia Finance Indonesia consortium which took a majority controlling stake in the Bank. With new management at the helm, and 180-day remapping of its business model and strategy, Bank Danamon continues to undergo a transformational change designed to mold it into a leading national bank and a key regional player.

Source : http://www.danamon.co.id/content_a.php?nmCat=sekilas&lng=2

About BCA

BCA was officially founded on 21 February 1957 with the name of Bank Central Asia NV.
Many things have passed by since the establishment, and perhaps the most significant is the monetary crisis that occurred in 1997.

This crisis brought a remarkable impact on the overall banking system in Indonesia. However, specifically, these conditions affect the cash flow of funds in the BCA and even had to threaten birthday. Many customers panic and roll their funds. As a result, banks are forced to ask for assistance from the government. National Bank Agency (BPPN) then took over BCA in 1998.

Owing to the business and policy decision-making wise, BCA successfully restored in the same year. In December 1998, the funds have been three parties to return to the level before the crisis. BCA assets reached Rp 67.93 trillion, while in December 1997 only Rp 53.36 trillion. Public confidence in the BCA has fully recovered, and the BCA BPPN to be submitted by Bank Indonesia in 2000.

Furthermore, the BCA to take big steps to become a public company. Quoting Prime Shares held in 2000, by selling shares of 22.55%, which comes from divestasi BPPN. After the Prime Stock Quotes, BPPN still control 70.30% of all shares BCA. Bidding to two shares held in June and July 2001, with BPPN mendivestasikan 10% of the shares it owns in the BCA.

In 2002, IBRA release 51% of the shares in the tender BCA through a strategic private placement. Farindo Investments, Ltd.., Based in Mauritius, won the tender. Currently, the BCA continues to strengthen its tradition of good corporate governance, in full compliance regulations, risk management and commitment to its customers in the bank as well as transactional and financial intermediary institutions.

The History of Bank MEGA

Starting from a family-owned business named PT. Karman Bank, which was founded in 1969 and based in Bangkok, then in 1992 the name changed to PT. Mega Bank, and make relocation to the Office of Central Jakarta.

Along with its development of PT. Mega Bank in 1996, taken over by the ITS GROUP (PT. The Global Investindo and PT. Investama The Partners). To further improve the image of PT. Mega Bank, in June 1997 to make changes to the logo with the goal that as people's confidence in financial institutions, will be more easily recognized through a new company logo is. And in 2000 made changes to the name of PT. PT Bank Mega to be. Bank Mega.

In order to strengthen the capital structure in the same year the PT. Bank Mega implement the Initial Public Offering and listed on the JSX and Have a great night. Thus, part of PT shares. Mega Bank is owned by the public and changed its name to PT. Bank Mega Tbk.

At the time of economic crisis, Bank Mega attention as one of the banks that are not affected by the crisis and continue to grow without government assistance, together with Citibank, Deutche Bank and HSBC.

PT. Bank Mega Tbk. with the slogan "Mega Goal you" grow rapidly and become a confident and reputable financial institution that is capable of leading banks in the Asia Pacific region and has obtained many awards and achievements both at the national, regional and international. In an effort to realize the performance in accordance with the name disandangnya, PT. Bank Mega Tbk. hold on the principles of professionalism, openness and caution with a strong capital structure and banking products and the latest facilities. Until the year 2007 PT. Bank Mega Tbk. 152 has a network consisting of branch offices, sub-branches and cash offices spread in almost all major cities in Indonesia, and Priority Banking.

Banking Sector Facing Liquidity Pressure

When a global financial shock occurs, investors soon move their funds from the risk to places more secure. This could cause a liquidity crisis for institutions and large, in the banking industry from a bank error in the fulfillment of the transaction - the transaction could endanger the position of the clearing banks other.
Bank Mega to become one of the most liquid currently, in the interest of war between banks - big banks that cause liquidity is not evenly spread in each bank.

Source : http://www.bankmega.com/corsec/liquidbanks.php

The History of Bank Negara Indonesia

Initially referred to by its unabbreviated name of Bank Negara Indonesia when it was established in 1946, BNI is the first bank formed and owned by the Indonesian Government.

Historical records indicate that on of the eve of the 30th of October 1946, or merely a few months after its formal establishment, the Bank distributed the first currency bills ever issued by Indonesia’s Government popularly known at the time as ORI, or ‘Oeang Republik Indonesia’ (Currency of the Republic of Indonesia). In fact, this day is commemorated annually as the National Finance Day while the date of the Bank's establishment - the 5th of July - was designated as National Bank Day.

Bank Negara Indonesia's role as the circulation and central bank was duly terminated in 1949 following the government’s appointment of the former Dutch-controlled bank, De Javasche Bank, as Indonesia's Central Bank . The Bank, subsequently designated as a development bank, was later granted the rights to provide foreign reserve services that allowed it access to direct foreign transactions.

Enhanced by increased capitalization, the Bank's legal status was formally changed to that of a state-owned commercial Bank in 1995. This provided the Bank with the foundation to provide better and wider range of both access and services for the country's business sectors.

In its quest to competitively differentiate itself from its competitors, the Bank decided, towards the end of 1968, to attach its year of establishment to its corporate name to become Bank Negara Indonesia 1946. The Bank was therefore popularly referred to, for decades, as 'BNI 46'. The simpler name of 'Bank BNI' was adopted in 1988 along with the change of the corporate identity.

BNI’s legal status was upgraded in 1992 to that of a state-owned limited corporation under the name of PT Bank Negara Indonesia (Persero) and the bank decided to become a public company through its initial public offering of its shares in 1996.

BNI's ability to adapt to environmental, socio-cultural and technological advances is reflected through the continuous refinement of its corporate identity which is carried out to suit the changing demands and trends of the times. This adaptability signifies the Bank's dedication and commitment towards continuous improvement of its performance.

A refined corporate identity was introduced in 2004 that reflects the positive prospects for the future after a year of struggle characterized by a period of hardship. A shorter name of 'BNI' subsequently replaced the former 'Bank BNI', while the year of its establishment - '46' - was exposed through the logomark to reinforce the pride and distinction that the Bank had in being the country's first national bank.

In keeping with the spirit of the heroic national struggle that is rooted in its history, BNI strives to provide the best services for the country and to ultimately become the Pride of the Nation, today and always.

About Bank NISP

Sixty-seven years ago - on April 4, 1941 to be precise -- Bank NISP was established in Bandung, West Java, under the name NV Nederlandsch Indische Spaar En Deposito Bank. Bank NISP is the fourth oldest bank in Indonesia and initially operated as a savings bank. In 1967 the bank's status was changed to that of a commercial bank. In 1972, Bank NISP entered into a financing and technical assistance agreement with Daiwa Bank of Japan through Bank Daiwa Perdania, which was the first joint venture bank in Indonesia. On 27 June 1974, Bank NISP became a shareholder in Bank Perdania, in which as of 31 March 2002 Bank NISP has 19.92% share. In March 2003, the Daiwa Bank, Limited, and the Asahi Bank, Limited, merged, and reorganized into Resona Bank, Limited, and Saitama Resona Bank, Limited, to establish "The Resona Holdings, Inc." In connection with the merger, the bank's name has been changed from PT Bank Daiwa Perdania to PT Bank Resona Perdania. However, the Extraordinary General Shareholders Meeting in 2005 has decided to sell Bank NISP's entire shareholding in PT Bank Resona. The sale of the 19.92% shareholding ( 567,777 shares ) was intended to maximize Bank NISP's earning assets structure by shifting the investment to the real sector. Bank NISP's status was upgraded in 1990 when the bank became a foreign exchange bank. In line with this, confidence in Bank NISP from several international institutions continued to grow. EXIM Bank of Japan and Netherlands Development Finance Company (FMO) both used Bank NISP to channel their longterm soft loans to small- and medium-sized enterprises. In addition, Bank NISP also participated in USAID's loan guarantee portfolio program from the United States. Bank NISP became a public bank on October 20, 1994, listing its shares on the Jakarta Stock Exchange. In 1995 and 1996, Bank NISP was awarded ISO 9002 certification for its Treasury and Financial Institutions division as well as its Head Office division. Bank NISP was the first bank in the Asean region to apply international quality standards. In January 2000, Bank NISP's ISO 9002 certification was upgraded to ISO 9001-1994 and there was a further upgrade to ISO 9001-2000 certification in 2001. At the beginning of 1997, together with Singapore's third largest banks the Oversea-Chinese Banking Corporation (OCBC), Bank NISP established a joint venture bank called Bank OCBC-NISP. Following the acquisition of PT Bank Keppel TatLee Buana by PT Bank OCBC-NISP in February 2002, the name of PT Bank OCBC-NISP was changed to PT Bank OCBC Indonesia. In 2002, Bank NISP divested its share in the bank from 15% to 1.33%. In the same year, Bank NISP became the first bank in Indonesia to receive longterm bilateral loans directly from the International Finance Corporation (IFC), a member of the World Bank Group. Then at the beginning of 2001, the IFC became a shareholder in Bank NISP, taking a 9.6% share through Rights Issue II and changing the loans that it had already provided into subordinated loans amounting to USD 5 million. Following this, a second investment was made through rights issue III, totaling Rp 31.56 billion and USD 5 million through the execution of the compensation for the above loans, which was carried out in July 2002. By 2005 Bank NISP held its 4th rights issue which raised a total of Rp 601.5 billion. As of 30 September 2005, the IFC officially owns a 7.17% stake in Bank NISP. The economic crisis that struck Indonesia in mid-1997 and rapidly deteriorated into a banking crisis forced the government to introduce a recapitalization program to rescue Indonesia's banking sector. Under this program, Bank Indonesia classified Bank NISP as an 'A' bank, indicating that the bank's capital structure was strong enough to exclude it from the bank recapitalization program, which was essentially aimed at strengthening capital. In 1999, while the majority of Indonesian banks were involved in internal recovery activities, Bank NISP went ahead and launched a repackaged Home Ownership Loan product called 'KPR Merdeka' (Independence Home Ownership Loans). The unique feature of this product is the loan approval process, which takes only five working days as from when all data have been received. This product received a very warm welcome from members of the public who had anxiously been awaiting bank loans to help them pay for their homes in the midst of the economic crisis. With the support of more than 5,300 employees, over 352 offices and 20,000 ATMs (including the "ATM Bersama" and ATM BCA network ) spread throughout Indonesia and also OCBC Bank's ATMs in Singapore, and BankCard in Malaysia Bank NISP continues to grow and develop without forgetting the importance of providing quality service to its customers. In the international domain, trust to Bank NISP has become more concrete, OCBC Bank Singapore, one of the biggest banks in the Southeast Asia, came in as a shareholder of NISP since April 2004. With the 72.40% share ownership by the end of 2007, OCBC Bank is the biggest institutional shareholder of Bank NISP, which actively supports Bank NISP’s growth and development to be the world-class standard bank.

WORLD BANK

International Bank for Reconstruction and Development (IBRD, in the Roman languages: BIRD) or the International Bank for Reconstruction and Development, better known as the World Bank, is an international organization founded to fight poverty by helping finance developing countries. Operation of the World Bank is maintained through the payment sebagaima set by member states.
Activities of the World Bank is currently focused on developing countries, in areas such as education, [agricultural]] and the industry. World Bank provides loans with preferential tariffs to countries that are members in tough. As a reward, the Bank also asks that the economic steps that need to be, for example, corruption can be limited or developed democracy.
World Bank didirkan on 27 December 1945 after the ratification of international agreements reached at Bretton Woods Conference that took place on July 1 to July 22 1944. World Bank headquarters in Washington, DC, USA. The technical and structural, the World Bank, including one from the UN, but operationally very different from UN agencies other.
CRITICS
Despite expectations often become a poor country as a source of development loans, the World Bank is often criticized by opponents of "neo-colonial" corporate globalization. The opponents of this, which is often referred to as the anti-globalization, blame the World Bank because of weakened sovereignty loan recipient countries through economic liberalization.
The most common criticism is the World Bank is in the influence of certain countries (especially the United States), which benefit most from the activities of the World Bank.
Other criticisms that the World Bank operates on the principles of neoliberalism, based on the belief that the market (free) can bring prosperity to countries that practice free competition, without any intervention. In this perspective, the reform of berinspirasikan "neo-liberal" is not always appropriate for countries that have experienced conflict (ethnic wars, border conflicts, etc..) Or that have been long in the oppressive conditions (dictator or colonial) and countries that do not have democratic political system stable. In this perspective, the World Bank prefers the influx of foreign companies than local economic development that country.
On the other hand, people criticize liberal Bank because only act as a purely political organization. In this perspective, the Bank thus represents the rejection of the concept in the ability of the market economy. Folk liberal view as a tool of the country, for the international economy, which works to cover the ulcer-ulcer from a policy that is being done country. In this perspective, the World Bank to take the responsibility of the economic liberal, and not let the state policy in place.
During the period 1972 to 1989, the World Bank is not a test environment and does not require the test environment in each of the proposed project. Tests conducted on only a small part of the project, which the staff of the environment, in the early 1970s, sending the checklist form to the borrower and the borrower then submit detailed documentation and suggestions for analysis.
Also in this period, the World Bank failed to take into account environmental factors in the social, most clearly visible in the program Transmigration of Indonesia in 1974 (Transmigration V). It is important to note that this occurred after the establishment of the office environment of the World Bank (OESA) in 1971. According to critics of the World Bank, Le Prestre, Transmigration V program is the largest evacuation of residents who had tried ... designed to move the 65 million population of the country with 165 million (at the time) within 20 years. The goal is the improvement of economic and social conditions of the islands inhabited solid, reduce the level of unemployment in Java, the relocation of labor to other areas, and "strengthen national unity through ethnic integration, and improving the living standards of poor people. Transmigration project is considered failed because the some cases collision occurred between local people and transmigrants, and some tropical forests to be opened became damaged agricultural fields.
President of World Bank
• Eugene Meyer (June 1946-December 1946)
• John J. McCloy (March 1947-June 1949)
• George D. Woods (January 1963-March 1968)
• Robert S. McNamara (April 1968-June 1981)
• Alden W. Clausen (July 1981-June 1986)
• Barber B. Conable (July 1986-August 1991)
• Lewis T. Preston (September 1991-May 1995)
• James D. Wolfensohn (June 1995-May 2005)
• Paul Wolfowitz (June 2005-May 2007)
• Robert Zoellick (June 2007 - present)

source : id.wikipedia.com

Bank Indonesia

Bank Indonesia (BI, I called De Javasche Bank) is the central bank of the Republic of Indonesia. As the central bank, Bank Indonesia has one single goal, namely achieving and maintaining stability in the rupiah. The stability of the rupiah these two aspects, namely stability of the currency value of goods and services, and the stability of the currency of other countries.
To achieve this, BI is supported by three pillars that are three areas of its work. The third task of this field is set and implement monetary policy, manage and maintain the smooth payment system, and regulate and supervise banks in Indonesia. Diintegrasi need three goals to achieve and maintain stability in the rupiah can be achieved efficiently and effectively.
BI also the only institution that has the rights to distribute the money in Indonesia. In implementing its duties and responsibilities of BI, led by the Board of Governors. For the period 2008-2013, Boediono served as the position of Governor of the BI.

The status and position of Bank Indonesia

As the State Board of Independent
A new chapter in the history of Bank Indonesia as an independent Central Bank, which begun when a new law, namely Law. 23/1999 on Bank Indonesia, declared in effect on May 17, 1999. This law gives the status and position as a state institution that is independent and free from interference by the government or other parties. As an independent state institution, Bank Indonesia has full autonomy in formulating and implementing each of its duties and responsibilities as specified in the law-External is not allowed to meddle in the implementation of the tasks of Bank Indonesia, Bank Indonesia and also obliged to reject or ignore the intervention in the form of anything from any party. To further ensure independence, the law has a special position to Bank Indonesia in the structure of the Republic of Indonesia. As a state institution, the independent position of Bank Indonesia is not in line with the Board of the State. In addition, the position of Bank Indonesia also is not the same with the Department, because the position of Bank Indonesia is located outside the Government. The status and position of these special needs so that Bank Indonesia can implement the role and function as the monetary authority more effectively and efficiently.

As a legal entity
Bank Indonesia's status as a legal entity either public or civil legal entity established by law. As a body of law, Bank Indonesia public authorities set the rules of law which is the implementation of laws that bind all of the public in accordance with its duties and responsibilities. As the body of civil law, Bank Indonesia can act for and on behalf of themselves in and outside the court.
Goals and Tasks of Bank Indonesia

Single Destination
In its capacity as the central bank, Bank Indonesia has one single goal, namely achieving and maintaining stability in the rupiah. The stability of the rupiah these two aspects, namely stability of the currency value of goods and services, and the stability of the currency of other countries. The first aspect is reflected in the rate of inflation, while the second aspect is reflected in the development of the rupiah exchange rate against other currencies. The formulation of the single purpose of this is intended to clarify the targets that must be achieved by Bank Indonesia and the boundaries of responsibility. Thus, the achievement of the goals of Bank Indonesia will be measured easily.

Three Pillars Home
To achieve these objectives, Bank Indonesia is supported by three pillars that are three areas of its work. The third task of this field is set and implement monetary policy, manage and maintain the smooth payment system, and regulate and supervise banks in Indonesia. Diintegrasi need three goals to achieve and maintain stability in the rupiah can be achieved efficiently and effectively.

Monetary Policy
As the monetary authority, Bank Indonesia set and implement monetary policy to achieve and maintain stability in the rupiah. The direction of policy is based on the inflation rate target to be achieved by considering various other macroeconomic targets, both in the short term, medium term and long term.
Implementation of the monetary policy conducted with a set of operational targets, namely primary money (base money), and then observe the development of indicators that provide pressure on prices and the rupiah.
Development indicators are through direct monetary, that is using open market operations, discount rate and the determination of the minimum required reserves for banks.
Pegendalian the monetary approach indirectly this has been done since 1983 with an operational mechanism tailored to the dynamics of the domestic money market.

Open Market Operations
Open Market Operation (OMO) held to affect the rupiah liquidity in the money market, which in turn will affect the level of interest rates. OMO conducted through two ways, namely through the sale of Bank Indonesia Certificates (SBI) and the intervention of Rupiah.
SBI sales made through auction so that the discount rate that truly reflects the money market liquidity conditions. Meanwhile, the rupiah intervention by Bank Indonesia to adjust money market conditions, good liquidity and interest rate.

Determination of the Minimum Required Reserves
This policy requires each bank's smoothly propose a number of assets that are prescribed certain amount of obligation segeranya. Currently, provisions in the Minimum Reserve Requirements (MRR) by 5% from the third party funds received by banks, which are kept in mandatory bank account at the Bank of Indonesia.
When Bank Indonesia need to tighten monetary policy, the compulsory reserve can be improved, and similarly vice versa. Role as a lender of the Last Resort, Bank Indonesia also function as lenders of last resort.
In implementing this function, Bank Indonesia can provide credit or financing based on the principles of sharia to the bank, which experienced a short-term liquidity difficulties caused by the occurrence of mismatch in the management of funds.
The loan period maximum 90 days, and bank loan recipients must provide collateral, high quality and easily diluted with a value at least equal to the amount of the loan.
Role as a lender of the Last Resort
Bank Indonesia also function as lenders of last resort. In implementing this function, Bank Indonesia can provide credit or financing based on the principles of sharia to the bank, which experienced a short-term liquidity difficulties caused by the occurrence of mismatch in the management of funds. The loan period maximum 90 days, and bank loan recipients must provide collateral, high quality and easily diluted with a value at least equal to the amount of the loan.

Exchange Rate Policy
The exchange rates that are commonly called the exchange rate, have an important role in achieving monetary stability and in supporting economic activity. A stable exchange rate is needed to create a climate conducive to increased business activities.
In outline, since 1970, Indonesia has implemented a system of three exchange rates, the system of fixed exchange rates 1970 to 1978, the exchange rate float system since 1978, and the system of exchange rates float freely (free floating exchange rate system) since 14 August 1997.
With the inception of this system, the rupiah exchange rate determined by the market exchange rate that is actually a balance between reflection of supply and demand.
To maintain the stability of exchange rates, Bank Indonesia in a certain period of time to make sterilization in the foreign exchange market, especially when there are excessive exchange rate fluctuation.

Management of International Reserves
Foreign exchange reserves is a net asset position of foreign government and foreign exchange banks, which must be kept for the purpose of international transactions.
In managing the reserves, the Bank of Indonesia while achieving the goal of liquidity and safety of high profit. Nevertheless, Bank Indonesia is still considering the development that occurred in the international market, so it is possible shift in the composition of the portfolio of foreign exchange reserves.
In managing foreign exchange reserves, Bank Indonesia is implementing diversification, both based on the type of foreign currency and based on the type of investment securities. By the way, it is expected that the decline in the value of a currency can be compensated by other types of currency or other placement that has a better value.

Credit Program
With Bank Indonesia's status as an independent monetary authority, the credit program, which is next conducted outside the scope of the task of Bank Indonesia.
Duty credit program will be conducted by the State-owned enterprises (SOEs), which appointed the Government. Transfer of tasks is that Bank Indonesia to focus more attention on the achievement of targets for monetary and in order to create a better division of tasks between the government and Bank Indonesia.
And the setting of Bank Supervision
In order to manage and supervise the task of banking, Bank Indonesia to set regulations, and to give permission on the institutional or business activities of certain banks, conduct supervision over banks, and impose sanctions against the bank in accordance with the provisions of laws and regulations.
In the implementation of this task, Bank Indonesia authorities to set conditions with the banking uphold the principle of prudence.
In connection with the licensing authority in the field, besides providing permits and revoke bank, Bank Indonesia can also give permission opening, closing and evacuation of a bank office, the approval of the ownership and management of banks, and give permission to banks to run the activities of certain business.
In the field of supervision, supervision of Bank Indonesia directly and indirectly. Direct supervision is carried out either in the form of checks regularly and at any time if necessary. Supervision is carried out through research, analysis and evaluation of the reports submitted by the bank.

Efforts to Restructure Banking
As efforts to rebuild the trust of the community to the financial system and economy of Indonesia, Bank Indonesia has taken a comprehensive restructuring of the banking. This step is absolutely necessary in order to recreate the banks as intermediary institutions that will encourage economic growth, while simultaneously improving the effectiveness of monetary policy.
Restructuring the banking is done through efforts to restore public confidence, the recapitalization program, credit restructuring, improvement of the banking provisions, and improving the function of bank supervision.

Payment System
Maintaining the stability of the rupiah, Bank Indonesia is the goal, as mandated Law. 23 of 1999 on Bank Indonesia. To maintain the stability of the rupiah and the need to be supported will be smooth management of National Payment System (NPS). The smoothness of the NPS is also need to be supported by a reliable infrastructure (robust). So, the more smoothly and hadal NPS, the more smoothly transmission of monetary policy, which is time-critical. If monetary policy is running smoothly so its mouth is the stability of exchange rates.
BI is the institutions that manage and maintain the smoothness of the NPS. As monetary authorities, central bank reserves the right to establish and NPS policy. In addition, BI also has the authority to issue approvals and licensing and monitoring (oversight) of the NPS. Recognizing the smoothness of the NPS, which is important in the system (systemically important), the central bank should consider organizing inter-bank settlement system infrastructure through the BI-Real Time Gross Settlement (BI-RTGS).
In addition, there is still the task of BI in the NPS, for example, the role of the interbank clearing system for the type of payment instruments certain. The central bank also is the only institution that has the right to distribute equipment and cash as payment currency of rupiah. BI also have the right to revoke, to attract foreign currency rupiah, which is not valid from circulation.
With these powers, the BI also set a number of policy components of the NPS. For example, payment instruments that may be used in Indonesia. BI also determine the standard payment instruments and was the parties that can be published and / or equipment to process the payment. BI also establish the institutions that can hold the payment system. Take the example, the clearing system or the transfer of funds, a good system intact or only part of the system only. The central bank also appoint an institution to operate a settlement system. In the end, BI must also establish policies on risk management, efficiency and good governance (governance) NPS.
In the cash payment instruments, Bank Indonesia is the only institution authorized to issue and circulate rupiah currency and in foreign currency from circulation. Related to the role of BI in the issue and circulation of money, Bank Indonesia can always try to meet cash needs in the community both in nominal enough, according to the type of fraction, punctually, and in a condition fit for circulation (clean money policy). To clean money policy, management, which manages money through Bank Indonesia from spending money, manages the money, revocation and withdrawal of money to the destruction of money.
Before conducting the rupiah currency, first by planning to have spent the money that good quality so that public confidence remains intact. Planning by Bank Indonesia include the planning of new emissions, considering the level of fraud, and the value intrinsically edar money. In addition, the planning is done and the composition of total fraction of the money will be printed during the year ahead. Based on the planning and procurement made good money for spending money emissions and printing new money to the routine issued in the past.
Currency issued then distributed or distributed in the entire region through the Office of Bank Indonesia. Rupiah needs in each office of Bank Indonesia based on the amount of stock, the needs of payments, exchange and replacement of the money during a period of time. Distribution is done by means of land, sea and air. To ensure the security escorts performed well through adequate planning and with the increased monitoring system.
Activities also manages the money made through the service of cash to banks and the general public. Service cash to the bank conducted through general revenues and premium payments rupiah currency. While the community is done through the exchange directly through the counter-counter exchange in all the offices of Bank Indonesia or through cooperation with companies that provide services, exchange small.
Furthermore, the rupiah currency management activities by Bank Indonesia is the revocation of a fraction of the money with the emission of certain years are no longer valid as legal. Revocation of money from circulation is intended to prevent and minimize the circulation of counterfeit money and simplify the composition and emissions fraction. Currency, which may be revoked by Bank Indonesia to exchange or other parties who have been appointed by Bank Indonesia.
Meanwhile, to keep rupiah currency in conditions fit for circulation in the community, Bank Indonesia to do the destruction of money. Money Destruction is the money that has been revoked and withdrawn from circulation, printing money and less perfect money that is not fit for circulation. The destruction of currency is governed by the procedures and conducted by a third party with supervision by a team of Bank Indonesia (BI).
The Board of Governors of BI
In implementing its duties and responsibilities, led by Bank Indonesia Board of Governors. This Council consists of a Governor as a leader, assisted by a Senior Deputy Governor as a representative, and at least four or at most seven Deputy Governor. Tenure of the Governor and Deputy Governor for a term of five years, and they can only be elected for as many two-time task.
And Dismissal of the Board of Governors
Governor and Senior Deputy Governor proposed and appointed by the President with the approval of the DPR. Meanwhile, Deputy Governor proposed by the Governor and appointed by the President with the approval of the DPR. Member of the Board of Governor of Bank Indonesia can not be dismissed by the President, except when the pull out, permanently, or to perform criminal acts of crime.
The Decision
As a forum highest decision-making, Meeting of the Board of Governors (Board of Governors' Meetings) held at least once a month to set general policy in the field of monetary, and at least once a week to evaluate the implementation of monetary policy or policies that define and principle strategic. Decision making is done in the Meeting of the Board of Governors, on the basis of consensus for the agreement. If the agreement is not reached, the Governor set a final decision.
The Governor of Bank Indonesia
Since established, the people who elected as Governor of the BI, as follows:
• 2008-2013 Boediono
• 2003-2008 Burhanuddin Abdullah
• 1998-2003 Syahril Sabirin
• 1993-1998 J. Soedradjat Djiwandono
• 1988-1993 Adrian Mooy
• 1983-1988 Arifin Siregar
• 1973-1983 Rachmat Saleh
• 1968-1973 Radius Prawiro

Source: id.wikipedia.com

World Bank Loan Offer $ 5 Billion for Anticipating Climate Change

Jakarta (ANTARA News) - The World Bank loan funds offer a low of 5 billion dollars the United States to developing countries for financing adaptation to climate change.

Announcement of Investment Climate Fund is presented by the World Bank on the second day of the hearing, which discussed the framework of cooperation to handle climate change, held in Bangkok on Tuesday (1 / 4).

Bangkok Post daily on-line version, on Wednesday, saying, Director of Environmental Affairs of the World Bank, Warren Evans, said this initiative is part of a three-year aid scheme that provides low-interest loans have tribes for programs related to climate change.

He is expanding programs that can be financed by this loan the World Bank, among others, development of clean technology, adaptation to climate change and sustainable forest management in developing countries.

Meanwhile, Evans continued, developed countries like the United States, Japan and the UK have pledged to allocate funds to the World Bank for Investment Climate Fund program is.

"We target of collecting funds to more than 5 billion dollars," he said.

Funds, said Evans, will be managed by the allocation mechanism that designed by the UN (United Nations) and NGOs.

The World Bank also target the discussion about the source of funds from donors can be completed in all ministers council, the minister of environmental G8 group of rich countries, in Tokyo, June.

Evans adds loan assistance schemes will also be approved by the executive council of the World Bank in the range of June.


NGOs skeptical response

In the other hand, environmental activists forced the World Bank loan program is a skeptic.

They mention a low loan assistance that overlap with climate change adaptation fund that is being designed by the UNFCCC (Convention on Climate Change Cooperation UN).

UNFCCC adaptation fund also aims to help finance developing countries in terms of financing programs of mitigation and adaptation to climate change.

The money is managed by the UNFCCC is sourced from various project Clean Development Mechanism (CDM), which is set in the Kyoto Protocol, and is expected to be collected up to 500 million dollars in the year 2012.

However, there is also concern the adoption of these funds will not reach the target as the maximum financial assistance to overcome the phenomena of global climate change.

Antonio Hill, senior pegiat from Oxfam, said the World Bank assistance scheme will be "crippling" Bali Plan of Action on the adaptation fund.

According to him, should funds be provided as grants rather than loans, because developing countries have been tortured in such a way as a result of the impact of climate change caused by emissions of greenhouse gases countries.

"Schemes such as the World Bank is your car and hit a home other people to damage, but then you offer loan money to the owner of the house to repair the damaged house," he said.

However, opinions vary by Evans, because according to his loan from the World Bank will not remove the framework of UNFCCC adaptation assistance.

"If we find elements of overlap, of course we will avoid. But in this case we do not have overlapping elements," said Evans.

If assistance from the UNFCCC adaptation funds for this is very complicated and slow to obtain, a loan from the World Bank estimated that this will be easier to access.

Evans mentioned the donor countries will pay the majority of funds, while developing countries and NGOs will be invited to participate in designing the formula and pattern of these funds.

The Council in Bangkok attended by 1,200 delegates from 163 countries around the world. They gathered since 31 March to 4 April, construct the framework of international cooperation treaties that are new, replacing the Kyoto Protocol which runs out in the first period of 2012.

In the Kyoto Protocol, 34 rich countries reduce the required greenhouse gas emissions to 5 percent of their numbers from 1990, emissions in the year 2012. (*)

source : http://www.antara.co.id/arc/2008/4/2/bank-dunia-tawarkan-pinjaman-5-miliar-bagi-antisipasi-perubahan-iklim/