5.1.1 Statistical presentation

• Data are disseminated on the following interest rates:

1. BI Rate.
2. The weighted average three-month time deposit rates, calculated as the weighted average of end-of- period.
3. Lending rates (working capital and investment) of the commercial banks, calculated as the weighted average of end-of-period rates.

• BI Rate is implemented in the Bank Indonesia monetary operations conducted by means of liquidity management on the money market to achieve the monetary policy operational target. The monetary policy operational target is reflected in movement in the Interbank Overnight (O/N) Rate. It is then expected that bank deposit rates will track the movement in interbank rates, with bank lending rates following suit.
• There are no short term or long term government securities in Indonesia.
• There is no seasonal adjustment.

4.1.1 Periodicity

• BI Rate is announced in each monthly Board of Governors Meeting.
• Monthly for the deposit and lending rates.

4.1.2 Timeliness

One month after the end of the reference month, for the data on the weighted average deposit and lending rates.

5.1.4 Simultaneous release

The daily data are released simultaneously to all interested parties by posting on the Reuters page (PIPG) at the instigation of Bank Indonesia.

0.1.1 Responsibility for collecting, processing, and disseminating statistics

Bank Indonesia

Bank Indonesia is the Central Bank of Indonesia (BI) and operates under the Central Bank Act (No. 23, 1999) as amended with the Act No.3 of 2004, and the Banking Act (No.7, 1992 and No. 10, 1998). The law sets out the objectives of Bank Indonesia and specifies its powers and duties for the collection, processing, and dissemination of the statistics.

• The Republic of Indonesia Act. No. 23 (May 17, 1999) regarding Bank Indonesia, article 14 paragraph (1), states that Bank Indonesia may conduct a survey regularly or when needed, either at macro level or micro level, to support the goal of Bank Indonesia in regulating and implementing necessary monetary policy to achieve and maintain stability of the Rupiah value.
• The Republic of Indonesia Act. No. 10 (November 10, 1998) regarding Commercial Banks, article 34 paragraph (1), obliged commercial banks to submit their financial reports (balance sheet and profit/loss statement along with the explanations) to Bank Indonesia in a timely manner and in a format set by Bank Indonesia. In the General Explanation of Bank Indonesia Regulation No. 2/21/PBI/2000 (September 19, 2000) regarding the Commercial Bank’s Monthly Report, it is clearly stated that the report will be used by Bank Indonesia either for statistical purposes and for banking supervision purposes.
• Domestic debt data dissemination is under the Government Securities Act (No. 24, 2002) stated that Bank Indonesia shall perform the administrative activities, including ownership registration, clearing and settlement, and shall serve as the agent for the payment of interest and principal of Government Securities.
• Article 53 states that Bank Indonesia may, for and on behalf of the Government, to obtain foreign borrowing, to administer, as well as to settle foreign financial claims and liabilities of the Government.
• Act No.24 of 1999 (concerning the Foreign Exchange Flow and Exchange Rate System), Article 3 conveys to BI the authority to request information and data about the foreign exchange transactions conducted by a resident. BI Regulation No.1/9/PBI/1999 concerning Monitoring of Foreign Exchange Activities of Banks and Non-bank Financial Institutions (NBFIs) makes it the obligation of the banks and NBFIs to deliver information and data on their foreign exchange activities to BI. BI Regulation No.4/2/PBI/2002 as amended by BI Regulation No.5/1/PBI/2003 concerning Monitoring of Foreign Exchange Payments by Non-financial Institution Companies, requires any company conducting activities in foreign exchange payments to deliver reports presenting information and data on such activities to BI.

0.1.2 Data sharing and coordination among data producing agencies

Bank Indonesia

Data-sharing and coordination between the primary data compiling agencies and other data producing agencies are done regularly. 

• The system of data sharing among the compiling agencies is generally adequate. (i) Charter of Cooperation between BI and Statistics Indonesia (BPS)  dated June 19, 2002, which arranges for cooperation in data collecting, processing, and disseminating in order to avoid duplication and exchange of information/statistics needed by both institutions, (ii) Memorandum of Understanding between BI and the Directorate General of Customs dated November 5, 2002, which arranges for the delivery of online an offline export & import data, (iii) Letter  of Cooperative Agreement between BI and the Ministry of Culture and Tourism dated May 21, 2003, which arranges for the implementation of the Passenger Exit Survey (PES), (iv) Letter of Cooperative Agreement between BI and the Ministry of Culture and Tourism dated April 8, 2004, which organizes the implementation of the Outbound Survey, and (v) Letter of Cooperative Agreement between BI and BPS dated August 24, 2004, which prepares the implementation of the Foreign Worker Survey.
• The procedures to provide for the effective and timely flow of commercial banks' balance sheet and all of its explanations to Bank Indonesia are prescribed in the Bank Indonesia Regulation No. 2/21/PBI/2000 (September 19, 2000) regarding the Commercial Bank’s Monthly Report, Bank Indonesia Regulation No. 5/26/PBI/2003 (December 1, 2003) regarding the Syariah Commercial Bank’s, and Decree No. 28/58/KEP/DIR (August 29, 1995) regarding the rural bank’s monthly report.
• BI arranges meetings with Ministry of Finance to discuss data on government balance sheet. 
• BI arranges meetings with Bapepam―Indonesia Capital Market Supervisory Agency―to discuss the possibility of sharing securities data administered by PT KSEI, the central securities depository institution.
• Article 13 Act No. 23/1999 authorizes Bank Indonesia to manage foreign exchange reserve. Bank Indonesia compile the International Reserves and Foreign Currency Liquidity (IRFCL) data from internal as well as external sources. Data sharing within internal users as well as external users (in this case IMF) are sufficient. In addition, coordination in collecting and producing IRFCL data is currently adequate
• Exchange rates data are sourced from Reuters. Bank Indonesia has legal contracts (subscriptions) with Reuters.
• BI, BPS, and Customs also have a Working Group on trade data.  However, BPS produces balance of payments data for purposes of compiling the national accounts. These data, which are produced for BPS’s internal use, differ from the balance of payments data produced by BI.  To date, following the ROSC recommendations, BI and BPS are conducting coordination and discussion in order to harmonize BOP statistics in BOP and national accounts.

0.1.3 Confidentiality of individual reporters' data

Bank Indonesia

The Central Bank Act (No. 23, 1999) and the Banking Act (No.7, 1992 and No. 10, 1998) ensure the confidentiality of the source data. 

• The law obliges BI to keep the data source and individual data confidential, under the Act No. 23 of 1999, Article 14, paragraph 4, as revised by Act No. 3/2004, BI Regulation No. 1/9/PBI/1999 dated October 28, 1999, Article 3 and BI Regulation No. 4/2/PBI/2002 dated March 28, 2002 Article 2, paragraph 2, Bank Indonesia Circular Letter to All Commercial Banks No. 2/19/DSM (October 3, 2000), BI Regulation No. 1/4/PBI/1999 (concerning Survey Conducted by BI)
• BI uses aggregation rule by group of banks either in disseminating monetary statistics or banking statistics. BI’s staffs review all data prepared for dissemination to avoid possible indirect disclosure of individual data and design outputs (program specifications) in a way that prevents disclosure.
• Board of Governors of Bank Indonesia Regulation No.2/12/PDG/2000 (June 30, 2000) regarding Bank Indonesia Policy and Strategy in Information Technology, article 4 number 6, provides Bank Indonesia' information technology policies in providing a reliable security for information technology assets.
• The Republic of Indonesia Act. No. 23 (May 17, 1999) regarding Bank Indonesia, article 71 paragraph (1), set the penalties against staffs (including Board of Governors and other third parties appointed by Bank Indonesia to do specific tasks) who disclose confidential data will be imprisoned for minimum of 1 year and maximum of 3 years and will be fined for minimum of Rp.1 billions and maximum of Rp.3 billions.

0.1.4 Ensuring statistical reporting

Bank Indonesia

• The Banking Act requires that all commercial banks in Indonesia submit information required by the central bank, including on their assets and liabilities. as stated in Bank Indonesia Regulation No. 2/21/PBI/2000, Bank Indonesia Regulation 5/26/PBI/2003, and Director of Bank Indonesia Decree No. 28/58/KEP/DIR as mentioned previously. BI Regulation No. 1/4/PBI/1999 (concerning Survey Conducted by BI), Article 10, paragraph 1 gives BI the right to request the information and data object of the survey from the respondent.  BI Regulation No. 1/9/PBI/1999 concerning Monitoring of Foreign Exchange Activities of Banks and Non-bank Financial Institutions specify that the banks and NBFIs have the obligation to deliver information and data on their foreign exchange activities to BI.  In the same manner, BI Regulation No. 4/2/PBI/2002, as amended, with BI Regulation No. 5/1/PBI/2003 (concerning Monitoring of Foreign Exchange Payments by Non-financial Institution Companies), Article 2 requires any company conducting activities in foreign exchange payments to deliver complete, accurate, and timely reports, information, and data on such activities to BI.
• Bank Indonesia Regulation No. 2/21/PBI/2000 (September 19, 2000) regarding the Commercial Bank’s Monthly Report, article 18 to 22 regulate the penalties in case of non-compliance, misreporting, by commercial banks. Act No. 23 of 1999, Article 69 stipulates the penalties to be imposed to an entity that does not convey the information and data from the survey to BI.  Act No. 24 of 1999, Article 6 stipulates the penalties to be imposed to a resident who does not give information and data on foreign exchange activities that he conducted.  BI Regulation No. 1/4/PBI/1999 concerns surveys conducted by BI, Article 15 stipulates administrative sanctions to be imposed to the respondent who does not fulfill his liability.  BI Regulation No.1/9/PBI/1999 concerns Monitoring of Foreign Exchange Activities of Banks and NBFIs, Article 9–12 stipulates the administrative sanctions to be imposed for non compliance.
• In case of delay or non-compliance, the BOP Group uses moral suasion in contacting respondents by telephone in order to increase the response rate of the survey. The BOP Group also uses other means to ensure the reporting by respondents, such as considering carefully the response burden.  Consequently, it redesigned and simplified the FDI survey form.  In the same manner, the ITRS report form was modified to make it consistent with the respondents’ bookkeeping format.  BI also organizes meetings and business lunches with survey respondents.  A point of contact is indicated in the survey form.   Other activities include the creation of an ITRS help-desk, an ITRS working group, training sessions for reporters on report evaluation, and report guidance.

0.2.1 Staff, facilities, computing resources, and financing

Bank Indonesia

Staff resources are adequate to its needs.  The Department of Human Resources of BI prepares annual plans for skills improvement to enhance the expertise of BI staff.  Recently, Internal Circular letter No.7/4//INTERN/2005 dated January 19, 2005 allows the manager of a work unit to negotiate with the Human Resources Department the timing of transfer of his specialized staff to another work unit, thereby providing more stability in the career of the said specialized staff than that of general staff.

In terms of computing resources, sufficient resources are allocated and best efforts are made to exploit the full potential of effective computing technology for the compilation and dissemination data. 

The Logistic Departmen of BI arranges for the computer replacement and software updating periodically under the Information System Management Department of BI’ advice.  Each staff is equipped with one computer, most of them with access to the internet.  In terms of protection for the computer resources, the Information System Management Department provides adequate protection by installing a centralized virus protection system. 

0.2.2 Ensuring efficient use of resources

Bank Indonesia

BI put in place an effective mechanism to enhance staff performance and productivity. 

• BI maintains the facilities and computing resources.
• Regulation of BI Board of Governors No. 4/15/PDG/2002, dated November 29, 2002, organizes BI’s work plan, budget, and performance management system. BI also conducts a quarterly budget review of work processes to ensure cost effectiveness. BI annually reviews its staff performance. Efficiencies are sought through periodic reviews of work processes.

0.3.1 Monitoring user requirements

Bank Indonesia

• Bank Indonesia’ public relation group actively provides seminars on the usefulness of monetary statistics for the journalist/press.
• Survey form for users satisfactory is provided on BI’ website. Email addresses (contact points) are provided in every publications made by BI in order to get feedback from users.
• A contact person is provided in the SDDS and BI websites (Head of Balance of Payments Group, Department of Economic and Monetary Statistics, Bank Indonesia, BNP@bi.go.id). A quarterly “survey on users” satisfaction is conducted by the Office of the Governor.  A quarterly coordination meeting with related institutions is conducted before the publication of statistics.  Business lunches are organized with survey respondents and ITRS reporters.  BI also participates in statistical meetings such as the ASEAN Working Group on FDI (WGFDI). The BOP Group undertakes studies to help identify new and emerging data requirements.

0.4.1 Quality policy

Bank Indonesia

To provide accurate data and information it is one of BI’s strategic objectives. I performs quality checks in the process of collecting, processing, and verifying data.  They involve cross-checks and, in the event of discrepancies, follow-up by its staff.  Internal Regulation (SE Intern) on ITRS provides the bureau’s job description.  For its national publication, BI has set up an ARC as a means for the management to control the timeliness of statistics.  Although BI does not conduct formal surveys of users of balance of payments statistics, it offers them the possibility to communicate through e-mail, mail, phone, fax, or direct visits for comments or consultation.  BI also conducts regular reviews of metadata (annually), and regular reviews of its SDDS submissions (semi-annually).

0.4.2 Quality monitoring

Bank Indonesia

• Periodically reviews are undertaken to identify steps necessary to maintain standard quality of data requirements.
• Monetary, Financial and Fiscal Statistics Division cooperates with banking supervision Department, regularly do on-the spot inspection to reporting banks in order to ensure the quality of data reported to Bank Indonesia.
• Bank Indonesia Regulations regarding monthly reports (commercial banks and rural banks) ensure the timeliness of data to be submitted to Bank Indonesia by putting penalties for non-compliance with the regulations.
• Exchange rate data is  provided by Reuters at 4 p.m. Jakarta time. The data is closely monitored and referred by banks for some reports to Bank Indonesia.

0.4.3 Quality planning

Bank Indonesia

• During designing and procuring administration and statistical program, quality issues are considered, such as feedbacks from users on quality standards and on new data needs and requirements. 
• Staffs in-charge has adequate skills. Some courses are provided by BI and international institution to enhance the knowledge and skill of the staffs. 
• The effort to improve the quality of monetary statistics, especially in the expansion of the institutional coverage is being undertaken with the cooperation between Bank Indonesia and Ministry of Finance (BAPEPAM). This cooperation is put in Monetary Statistic Division multi years work program in improving the quality of monetary statistics and in developing a financial survey for Indonesia. 
• Monetary, Financial and Fiscal Statistics Division is using a cut-off date system in processing monetary statistics in order to fulfill the timeliness without ignoring the quality of the data. 
• In the expansion of ODC coverage, by including rural banks, there is a 3-month lag.  By considering that the movements of rural banks monthly data is not too significant, it is decided to use the latest data available (data from the previous 2 month) in producing monthly monetary statistics.  Once the actual data available, the statistics will be revised. 
• The BOP Group attempts to improve continuously the quality of international investment position statistics.  Examples include discussing data need and possible data source with data provider and gathering feedback from users.  The process of data reconciliation between IIP and the financial transactions in BOP will be the next priority in the action plan for improving data quality.    

1.1.1 Impartiality of statistics

Bank Indonesia

• Act No. 23 of 1999 concerning Bank Indonesia, as amended by Act No. 3 of 2004 Article 4 ensures the independence of BI in achieving its goals by prohibiting interference from others, including other government agencies. Article 9, paragraph 2 of the act states that BI shall refuse and/or disregard any form of intervention conducted by other parties.
• Professionalism is actively promoted through the recruitment process, which is based on merit. Only graduates with at least a bachelor’s degree, a certain level of grade point average (GPA), and passed the Test of English as a Foreign Language (TOEFL) are recruited.  The BOP Group regularly sends qualified employees to participate in seminars, workshops, and conferences sponsored by international and regional institutions.
• Professionalism is also promoted by encouraging staff to give lectures at the School for Staff and Leaders of Bank (SESPIBANK) and to contribute articles for publication in the Bank Indonesia Annual Report.  Research and analysis are encouraged in the BOP Group, primarily for the purpose of providing information for the Board.  BI does not have a tradition of publishing methodological research papers.

1.1.2 Selection of sources, methodology, and modes of dissemination

Bank Indonesia

Under the Central Bank Act (No. 23, 1999), Bank Indonesia has the authority to determine the coverage, content, methodology, and periodicity of the data that it collects and compiles. Choices of sources and statistical techniques as well as decisions about dissemination are informed solely by statistical considerations.

• Most of the source data to compile monetary statistics are collected from the balance sheet of Bank Indonesia, commercial banks, and rural banks by referring to MFS Manual recommendation.  However, some administrative records are also collected to complete the data requirements.
• Most of the source data to compile debt statistics are collected internally, from the MoF and creditors.  
• Decisions to disseminate monetary statistics to the public either domestically or internationally are solely based on statistical considerations without any intervention from other institutions or other government agencies.
• Decisions about timing and media to disseminate monetary statistics to the public are based on international standard, i.e. SDDS Advance Released Calendar and IFS; and Bank Indonesia publications ARC, without any intervention from other institutions or other government agencies.

1.1.3 Commenting on erroneous interpretation and misuse of statistics

Bank Indonesia

• Bank Indonesia provides the metadata of monetary statistics in The Indonesian Monthly Financial Statistics Bulletin and in SDDS website.
• Bank Indonesia (public relation division) will put comments publicly in a timely manner on erroneous interpretation or misuse of the statistics in the media.  However, usually the press will confirm the data to Bank Indonesia before it is published in the media

1.2.1 Disclosure of terms and conditions for statistical collection, processing, and dissemination

Bank Indonesia

The terms and conditions under which official statistics are compiled and disseminated are embodied in the legislation under which statistics are collected—the Central Bank Act (No. 23 of 1999), as amended, with Act No. 3 of 2004. This act is posted on the BI website, and copies of this act is available at the following address:

Department of Legal Affairs
Bank Indonesia
Tipikal Building
Jl. MH. Thamrin No. 2
Jakarta 10350
Indonesia
Phone: 62-21-3817896
Fax: 62-21-3501850

The metadata posted on the IMF’s Dissemination Standards Bulletin Board (DSBB) (http://dsbb.imf.org/Applications/web/dsbbhome/) provide information on the terms and conditions under which the statistics are collected, processed, and disseminated. The DSBB also contains an ARC for balance of payments statistics. BI’s website provides a link to the DSBB (and vice versa) for users who would be interested in looking at information on balance of payments metadata. The site also provides information on BI, including its responsibilities, structure, and statistical products and publications.

1.3.1 Guidelines for staff behavior

Bank Indonesia

• The Republic of Indonesia Act. No. 23 (May 17, 1999) regarding Bank Indonesia, article 4, ensure the independency of Bank Indonesia in achieving its goals by prohibiting interference from others, including other government agencies.
• Central Bank Act Act No. 23/1999 as revised by No.3/2004 specifies penalties against staffs (including Board of Governors and other third parties appointed by Bank Indonesia to do specific tasks) who disclose confidential data.
• The norms of conduct of BI personnel in the performance of their duties are subject to Regulation of BI Board of Governors No.3/9/PDG/2001 concerning Discipline Rules for BI Employees and Regulation of BI Board of Governors No. 4/7/PDG/2002 concerning Rules of Order of BI Employees.
• All new recruits participate in extensive training courses.  These courses give the participants information on BI’s responsibilities, activities, and banking secrecy, and provide guidance on staff behavior and ethical standards expected of BI staff.  All staffs are required to sign an oath of secrecy.  BI annually reviews its staff’s performance.  One aspect that is included in the review is staff’s behavior. This annual review ensures that the staff will always follow the standard if they want to have a good result on their review. BI management acknowledges its status as a role model and observes the ethical standards.

1.2.2 Internal governmental access to statistics prior to release

Bank Indonesia

There is no internal governmental outside Bank Indonesia have access to the data prior to their release to the public, except for domestic debt for public sector.

1.2.3 Attribution of statistical products

Bank Indonesia

• There is no ministerial commentary attached to the release of the data
• Bank Indonesia statistics publications are always clearly identified as Bank Indonesia publications, with its name, logo, and insignia.
• Bank Indonesia request acknowledgment when its monetary statistics are used for reproduction in other agencies’ publications.

4.3.1 Revision schedule

The data on interest rates are final when first released and are not subject to revision.

4.3.2 Identification of preliminary and/or revised data

The final status of the data is implied in the publications by the lack of a symbol indicating that the data are provisional.

1.2.4 Advance notice of major changes in methodology, source data, and statistical techniques.

Bank Indonesia

Changes in methodology are notified in the publication at the time the changes are introduced. Bank Indonesia always provides advance notices to the users when major changes in methodology, sources, and statistical techniques occurred. Bank Indonesia also provide the users with the new metadata. Changes in methodology are noted in advance in the Bank Indonesia’s internet website (http://www.bi.go.id/) and in Indonesian Financial Statistics at the time the changes are introduced.

5.2.1 Dissemination of documentation on concepts, scope, classifications, basis of recording, data sources, and statistical techniques

The basis for calculating the interest rates data is explained in the Indonesian Financial Statistic (SEKI) and Bank Indonesia Annual Report.

4.2.2 Temporal consistency

• The monthly Indonesian Financial Statistics (SEKI) publishes time series data for a wide range of domestic interest rates as follows: monthly for 25 months; annual data for 5 years. 
• The Bank Indonesia Annual Report publishes annual data on interest rates for the last 3 years.