Firms asked to report debts

Firms asked to report debts

JAKARTA (JP): Bank Indonesia has issued a ruling requiring all
local companies and institutions to report their foreign debts to
the central bank.

According to the new ruling, companies and institutions which
fail to report their foreign debts on time will be fined Rp
100,000 per day of delay.

If the companies or institutions do not report their foreign
debts within six months after the debts have been incurred, they
will have to pay a fine of 1 percent of their total debt to the
central bank, in addition to the daily fine.

If a report is incorrect or incomplete, the company or
institution concerned will have to pay a fine of Rp 1,000,000,
the central bank said.

The requirement to report foreign debts was previously
contained in Presidential Decree No. 137/2000, which was
rescinded last month, following the enactment of the new Capital
Flows and Exchange Rate Law.(hen)