Investor Presentaiton
OIS and IRS Transactions: General Provisions
Market Players. Banks, bank clients, both individual
and non-bank institutions, and also foreign parties.
Transaction Needs Analysis. A bank performing an
IRS or OIS transaction with a customer and/or
foreign party on behalf of the customer and/or
foreign party is required to have an analysis on the
need of rupiah interest rate derivative transactions.
Calculation
Base
ACT/360
Market Conventions
Interest Payment
based on Netting
OIS Quotation rates
based on 2
decimals
Market Conventions. When performing IRS and OIS
transactions, the respective bank is bound by
market conventions agreed upon by market players
through industry association including the
Indonesian Foreign Exchange Market Committee.
Settlement. Settlement can be performed as a
netting payment and every transaction has to be
settled in Rupiah. Close-out netting can be applied
under predetermined conditions.
IndONIA
Index
with 5
decimals
Compound
Floating Rates
(CFR) based
on 5
decimals
Notional of Net
interest payment in
IDR with 0
decimals
Settlement Date =
1 business days
after Maturity Date
(MD)
Quotation : 1W,
2W, 1M, 2M, 3M,
4M, 5M, 6M
At the 1st phase,
OIS settlement will
only be done at the
end of the OIS
tenor (MD+1bd).
Source: Bank Indonesia
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