BI launches new settlement system

JAKARTA (JP): Bank Indonesia officially launched on Thursday the real-time gross settlement system (BI-RTGS) in a bid to modernize the country's noncash interbank payment system.

Deputy governor Aulia Pohan said that with the new system, participating banks could now electronically process settlements for any individual transaction during the day.

He said that banks under the previous system risked suffering clearing losses by the end of each day.

"With the new real-time gross settlement system, the risks can be minimized," he said at the launching of the BI-RTGS system.

At least 125 banks have joined the system, implemented on Nov. 17, with a daily transaction value of over Rp 25 trillion. (hen)