NEW BANK INDONESIA REGULATIONS: AN EFFORT TO BRING HOME OFFSHORE LOAN AND EXPORT PROCEEDS

On 30 September 2011, Bank Indonesia promulgated new Bank Indonesia regulations1 requiring export and offshore loan proceeds to be received and drawn down (as applicable) through foreign exchange banks in Indonesia (including branches of foreign banks in Indonesia) (“FX Banks”) which willcome into effect as of 2 January 2012 (“Bank Indonesia Regulations”).