{
    "success": true,
    "data": {
        "id": 1214502,
        "msgid": "bank-indonesia-to-introduce-benchmark-interest-rates-1447893297",
        "date": "1995-04-12 00:00:00",
        "title": "Bank Indonesia to introduce benchmark interest rates",
        "author": null,
        "source": "",
        "tags": null,
        "topic": null,
        "summary": "Bank Indonesia to introduce benchmark interest rates JAKARTA (JP): Bank Indonesia will soon introduce benchmark interest rates to meet the need for more reliable reference rates in the country, says an executive of the central bank. Herinowo, Bank Indonesia's director of money market activities, said yesterday that the benchmark rates, to be called Jakarta Interbank Offered Rates (JIBOR), will be introduced within the next two months.",
        "content": "<p>Bank Indonesia to introduce benchmark interest rates<\/p>\n<p>JAKARTA (JP): Bank Indonesia will soon introduce benchmark<br>\ninterest rates to meet the need for more reliable reference rates<br>\nin the country, says an executive of the central bank.<\/p>\n<p>Herinowo, Bank Indonesia's director of money market<br>\nactivities, said yesterday that the benchmark rates, to be called<br>\nJakarta Interbank Offered Rates (JIBOR), will be introduced<br>\nwithin the next two months.<\/p>\n<p>He said the new rates will replace the three different<br>\nbenchmark rates at present, one of which is provided by Bank<br>\nIndonesia and the other two by Reuters and Dow Jones Telerate.<\/p>\n<p>\"However, the operation of the three versions is a bit<br>\nconfusing as they are often quite different from one another,\" he<br>\nsaid following the launching of the Parallel Information Bond<br>\nSystem (PIBS) at the office of the Indonesian Parallel Bourse.<\/p>\n<p>In order to resolve the problem and to provide more reliable<br>\nand representative benchmark rates, Bank Indonesia and the two<br>\nforeign institutions agreed recently to standardize the three<br>\ndifferent benchmark rates.<\/p>\n<p>\"We hope to introduce the new JIBOR rates in the next two<br>\nmonths,\" he said. The JIBOR rates will be based on the average<br>\nrates offered by around 25 major banks and will be supplied to<br>\nthe central bank's electronic Money Market Information System.<\/p>\n<p>The newly-launched PIBS, the first electronic bond monitoring<br>\nand trading system in the country, is also connected to the sub-<br>\nsystem of the central bank's money market information system.<\/p>\n<p>Tito Sulistio, the president of the Indonesian Parallel<br>\nBourse, said that the launching of PIBS is expected to revitalize<br>\ndormant bond trading in the parallel bourse.<\/p>\n<p>The need for the introduction of the electronic bond<br>\nmonitoring and trading system has been acutely felt for some<br>\ntime, especially among securities traders dealing in the<br>\nsecondary bond market in Indonesia.<\/p>\n<p>Prior to the PIBS operation, instant information on the<br>\nquality of a particular bond on offer on the secondary market was<br>\nalmost non-existent. (hen)<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/bank-indonesia-to-introduce-benchmark-interest-rates-1447893297",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}