Regulation of Member of Board of Governors Number 13 of 2024 on Money Market Transactions

REGULATION OF MEMBER OF BOARD OF GOVERNORS NUMBER 13 OF 2024 ON MONEY MARKET TRANSACTIONS BY THE BLESSINGS OF ALMIGHTY GOD MEMBER OF THE BOARD OF GOVERNORS OF BANK INDONESIA, Considering : a. that in realizing the objective of achieving stability in the value of the rupiah, Bank Indonesia has establish and implement monetary policy in a sustainable, consistent, and transparent manner, one of which is carried out through the regulation, development, and supervision of the money market; b. that the regulation, development, and supervision of the money market aims to build a modern and advanced money market; c. that in order to build a modern and advanced money market, it is necessary to regulate, develop, and supervise products, reference prices, participants, and transactions of the money market; d. that based on the considerations as referred to in point a, point b, and point c, it has been deemed necessary to establish Regulation of Member of Board of Governors on Money Market Transactions; Observing : Regulation of Bank Indonesia Number 6 of 2024 on Money Markets and Foreign Exchange Markets (Bulletin Gazette of the Republic of Indonesia of 2024 Number 17/BI, Supplement to the Bulletin Gazette of the Republic of Indonesia Number 85/BI); HAS DECICED: To enact : REGULATION OF MEMBER OF BOARD OF GOVERNORS ON MONEY MARKET TRANSACTIONS.

2 CHAPTER I GENERAL PROVISIONS Article 1 In this Regulation of Member of Board of Governors, the following definitions are employed:

1. Money Market is a part of the financial system that related to: a. activities of issuing and trading financial instruments or debt securities with a term of no more than 1 (one) year; b. money lending and borrowing transactions; c. interest rate derivative transactions; and d. other transactions that meet the characteristics of the Money Market, in rupiah or foreign currency.
2. Money Market Instruments are short-term securities or other forms that may be equated with short-term securities as determined by Bank Indonesia, with a term of no more than 1 (one) year which gives the owner the right to directly or indirectly obtain economic benefits.
3. Commercial Securities hereinafter referred to as SBK is a Money Market Instrument issued in the form of a promissory note.
4. Money Market Transaction is a financial transaction and/or transaction on financial instruments that meet the criteria and/or requirements (characteristics) to be transacted in the Money Market.
5. Time Deposit Certificate is a deposit in the form of a time deposit of which certificate of deposit may be transferred.
6. Interest Rate Derivative Transaction is a transaction based on a contract or payment agreement of which value is derived from interest rates.
7. Pricing is a reference price in the form of a price level that is the basis or may be used to determine prices, in issuing financial instruments and/or financial transactions.
8. Indonesia Overnight Index Average, from this point onwards is referred to as IndONIA, is an interest rate index for unsecured rupiah lending and borrowing transactions conducted between banks for an overnight period in Indonesia.
9. IndONIA Index is an index that represents the accumulated value of IndONIA which is compounded and calculated daily.
10. Compounded IndONIA is an interest rate calculated from the compounded average interest IndONIA over a certain period or an interest rate calculated from the IndONIA Index.

3 11. Participant in the Money Market and Foreign Exchange Market, hereinafter referred to as PUVA participant, is a party who carries out activities in the Money Market and foreign exchange market. 12. Money Market Participant is a PUVA Actor who carryies out activities in the Money Market. 13. Bank is a commercial bank as referred to in the Law on Banking, including branch offices of banks domiciled abroad but excluding offices of commercial banks incorporated as Indonesian legal entities operating abroad. 14. Money Market and Foreign Exchange Market Supporting Institution, hereinafter referred to as PUVA Supporting Institution, is the corporation that provides certain supporting services in the Money Market and foreign exchange market. 15. Money Market Supporting Institution is a PUVA Support Institution that provides certain supporting services in the Money Market. 16. Financial Sector Supporting Professions in the Money Market and Foreign Exchange Market, hereinafter referred to as PUVA Supporting Professions, is a professional actors in the form of individuals who provide certain professional services in the Money Market and foreign exchange market. 17. Business Day means a Bank Indonesia Business Day, excluding Bank Indonesia's limited operational Business Days. CHAPTER II FRAMEWORK FOR REGULATION, DEVELOPMENT, AND SUPERVISION OF MONEY MARKET TRANSACTIONS Article 2 (1) Bank Indonesia shall regulate, develop, and supervise the Money Market. (2) The scope of regulation, development, and supervision in the Money Market as referred to in section (1) shall include: a. Money Market products; b. Pricing in the Money Market; c. Money Market Participants; and d. Money Market Transactions. Article 3 Money Market products as referred to in Article 2 section (2) point a shall include: a. Money Market Instruments; and b. financial contracts and/or written confirmations in the Money Market. Article 4 Pricing in the Money Market as referred to in Article 2 section (2) point b shall include:

4 a. interest rate; b. yield or price of the instrument; and c. other Pricing in the Money Market. Article 5 (1) Types of Money Market Participants as referred to in Article 2 section (2) point c shall include: a. Money Market Instrument issuer; b. Money Market Transaction Participants; c. Money Market Supporting Institutions; d. PUVA Supporting Professions that provide services in the Money Market; and e. other parties as determined by Bank Indonesia. (2) Money Market Supporting Institutions as referred to in section (1) point c shall include: a. institutions supporting the issuance of Money Market Instruments, including:

1. arranger; and
2. rating agency; b. supporting institutions for Money Market Transactions; and c. supporting institution for the settlement and administration of Money Market Transactions. (3) PUVA Supporting Professions that provide services in the Money Market as referred to in section (1) point d shall include: a. public accountant; b. legal consultant; and c. notary. Article 6 Activities in the Money Market shall include: a. issuance of Money Market Instruments; and b. Money Market Transactions as referred to in Article 2 section (2) point d. CHAPTER III MONEY MARKET PRODUCTS Part One General Article 7 (1) Money Market Instruments as referred to in Article 3 point a shall be in the form of: a. promissory notes; b. payment order; c. debt securities; and d. other forms that may be equated with short-term securities, as determined by Bank Indonesia. (2) The types of money market instruments as referred to in section (1) shall include: a. SBK; and b. other Money Market Instruments determined by Bank Indonesia.

5 (3) Financial contracts and/or written confirmations in the Money Market as referred to in Article 3 point b shall include: a. financial contracts in the form of master agreements and/or standard contracts issued by associations, self-regulatory organizations in the Money Market and foreign exchange market, and/or related authorities; b. financial contracts and/or written confirmations commonly used in Money Market Transactions; and/or c. financial contracts and/or other written confirmations as determined by Bank Indonesia. (4) Financial contracts and/or written confirmations as referred to in section (3): a. must contain information related to Money Market Transactions; and/or b. shall refer to applicable market standards and/or market conventions. Part Two Smart Contract Article 8 (1) Money Market products as referred to in Article 3 may use smart contracts. (2) The use of smart contracts as referred to in section (1) shall be followed by the storage of the smart contract agreement. (3) The storage of smart contract agreements as referred to in section (2) at least contain terms and conditions regarding the automation of the implementation of the rights and obligations agreed upon in the smart contract. (4) The smart contract as referred to in section (1) and/or its printed version may be valid legal evidence as regulated in the Law on the development and strengthening of the financial sector. Article 9 (1) Money Market Participants who use smart contracts as referred to in Article 8 section (1) are required to: a. maintain governance, apply the prudential principles and risk management; b. ensure the security and reliability of information systems, including cyber resilience; c. ensure confidentiality of data and information; d. ensure the availability of data and information access for Bank Indonesia; and/or e. fulfill other obligations stipulated by Bank Indonesia. (2) Money Market Participants who use smart contracts are required to consult with Bank Indonesia before using the smart contract as referred to in section (1). (3) The obligation to carry out consultations as referred to in section (2) shall be exempted for certain Money Market products.

6 (4) In addition to the provisions referred to in section (1) and section (2), the use of smart contracts must pay attention to the provisions of laws and regulations. (5) Money Market Participants who violate the provisions as referred to in section (1) and/or section (2) shall be subject to an administrative sanction in the form of a written reprimand. Article 10 (1) Money Market Participants shall submit a letter of request for consultation on the use of smart contracts as referred to in Article 9 section (2) in the form of a softcopy through electronic mail (2) The Bank shall submit a proposal and supporting documents related to Money Market products when submitting a consultation request as referred to in section (1) as consultation material with Bank Indonesia. (3) An example of the format for a consultation request letter as referred to in section (1) shall be as set forth in Annex I which constitutes an integral part of this Regulation of Member of Board of Governors. CHAPTER IV PRICING IN THE MONEY MARKET Part One General Article 11 (1) Money Market Participants as referred to in Article 2 section (2) point c must use Pricing as referred to in Article 2 section (2) point b which are transparent, robust, and credible in: a. the issuance of Money Market Instruments; b. Money Market Transactions; and c. issuance of financial instruments and/or other financial transactions. (2) In regulating the Pricing as referred to in section (1), Bank Indonesia may: a. provide information related to Pricing; and/or b. appoint other parties to support the provision of Pricing. (3) Bank Indonesia shall act as an administrator in the provision of Pricing as referred to in section (2) point a. Article 12 (1) The Pricing as referred to in Article 11 section (2) point a provided by Bank Indonesia in the Money Market shall include: a. IndONIA; and/or b. other Pricing in the Money Market. (2) The Pricing provided by Bank Indonesia as referred to in section (1) shall be published every Business Day on the Bank Indonesia website and/or other media determined by Bank Indonesia.

7 (3) If in the provisions of Bank Indonesia there is a reference to the use of Pricing for a certain date but on that date Bank Indonesia does not publish the Pricing, then the reference to the use of Pricing shall use the previous publication date. (4) The use of Pricing shall be entirely the responsibility of Money Market Participants. Part Two IndONIA Article 13 (1) IndONIA shall be determined based on data on unsecured rupiah lending and borrowing transactions conducted between banks for an overnight period reported by the bank through a reporting system established by Bank Indonesia. (2) Transaction data as referred to in section (1) shall include transaction data throughout the Business Day reported in accordance with the reporting deadline as referred to in Bank Indonesia's provisions governing reporting. (3) The determination of IndONIA as referred to in section (1) shall be carried out by calculating a volume-weighted average of all transaction data as referred to in section (2). (4) The results of the IndONIA calculations as referred to in section (3) shall be rounded to 5 (five) digits after the decimal point. Article 14 (1) IndONIA as referred to in Article 13 shall be published: a. at 19.30 WIB; or b. at other times determined by Bank Indonesia. (2) In the event of an extension of the reporting deadline as referred to in Article 13 section (2), IndONIA shall be published 30 (thirty) minutes after the extension of the reporting deadline ends. Article 15 (1) IndONIA as referred to in Article 13 may be used by Money Market Participants in calculating interest rates for various tenors. (2) The calculation of interest rates for various tenors as referred to in section (1) may be conducted using the following methods: a. simple average interest from IndONIA; or b. compounded average interest from IndONIA, during a certain period. Article 16 (1) Bank Indonesia shall calculate Compounded IndONIA for a certain tenor using the method of compounded average interest from IndONIA as referred to in Article 15 section (2) point b. (2) Compounded IndONIA as referred to in section (1) shall be determined for: a. tenor of 30 (thirty) calendar days;

8 b. tenor of 90 (ninety) calendar days; c. tenor of 180 (one hundred and eighty) calendar days; d. tenor of 360 (three hundred and sixty) calendar days; and e. other tenors determined by Bank Indonesia. (3) Bank Indonesia shall publish Compounded IndONIA for certain tenors as referred to in section (1) at 08.00 WIB. (4) An example of the calculation of Compounded IndONIA for a certain tenor as referred to in section (1) shall be listed in Annex II which constitutes an integral part of this Regulation of Member of Board of Governors. Article 17 (1) Bank Indonesia shall publish the IndONIA Index which may be used by Money Market Participants in calculating Compounded IndONIA for various tenors. (2) Publication of the IndONIA Index as referred to in section (1) shall be carried out at 08.00 WIB. (3) The IndONIA Index as referred to in section (1) shall be calculated based on: a. IndONIA Index as referred to in section (2); and b. IndONIA as referred to in Article 12 section (1) point a, which has been published by Bank Indonesia on the previous Business Day. (4) Examples of Compounded IndONIA calculations using the IndONIA Index as referred to in section (1) and the IndONIA Index calculations as referred to in section (3) shall be as stated in Annex II. Part Three Determination of Other Parties to Support Provision of Pricing Article 18 (1) The determination of other parties to support the provision of Pricing as referred to in Article 11 section (2) point b shall be carried out based on the following considerations: a. efforts to achieve the targets of regulating, developing, and supervising the Money Market; b. international principles regarding the establishment of Pricing; and c. other considerations determined by Bank Indonesia. (2) Other prospective parties to support the provision of Pricing as referred to in section (1) must submit an application to Bank Indonesia. (3) The application as referred to in section (2) may be preceded by the submission of a determination plan from Bank Indonesia through letter and/or other media determined by Bank Indonesia. Article 19 (1) Application as referred to in Article 18 section (2) shall be submitted through a letter signed by at least 1 (one) member of the board of directors. (2) The application as referred to in section (1) shall be accompanied by supporting documents in the form of:

9 a. copy of the deed of establishment which has been validated by the authorized agency, along with the latest amendment which has obtained approval from the authorized agency or which has been issued receipt of notification of amendment to the articles of association from the authorized agency, which contains the articles of association and other information relating to the establishment of the company; b. statement letter stating:

1. the ability to be another party that supports the provision of Pricing; dan
2. commitment to: a) maintain the credibility and transparency of data and information; b) maintain the confidentiality of data and information; and c) ensure the availability of access to data and information for Bank Indonesia; c. documents which contain the following information and/or procedures:
3. security and reliability of information systems; and
4. Pricing provision mechanism; and d. other documents and/or information requested by Bank Indonesia. Article 20 (1) Bank Indonesia shall examine the application and supporting documents as referred to in Article 19. (2) In conducting the examination as referred to in section (1), Bank Indonesia may request other prospective parties that support the provision of Pricing to make presentations related to readiness in supporting the provision of Pricing. (3) Bank Indonesia shall approve or reject applications for the determination of other parties that support the provision of Pricing based on: a. considerations as referred to in Article 18 section (1); and b. readiness of other parties that will support the provision of Pricing. (4) Determination of other parties that support the provision of Pricing shall be be published on the website of Bank Indonesia and/or other media determined by Bank Indonesia. Article 21 (1) Other parties appointed to support the provision of Pricing as referred to in Article 20 section (4) are required to: a. maintain the credibility and transparency of data and information; b. ensure the security and reliability of information systems; c. ensure confidentiality of data and information; d. have a mechanism for the provision of Pricing;

10 e. ensure the availability of access to data and information for Bank Indonesia; f. fulfill other obligations stipulated by Bank Indonesia. (2) Other parties appointed to support the provision of Pricing that violate the provisions as referred to in section (1) shall be subject to administrative sanctions in the form of: a. written reprimand; b. temporary, partial, or complete suspension of activities in the Money Market; and/or c. revocation of the determination. Article 22 (1) Other parties appointed to support the provision of Pricing as referred to in Article 20 section(3) must consult with Bank Indonesia to obtain approval if they wish to make material changes. (2) Other parties as referred to in section (1) shall submit a request for consultation to Bank Indonesia accompanied by supporting documents according to the consultation topic. (3) Bank Indonesia shall conduct consultations based on consultation requests as referred to in section(2). (4) In conducting the consultation as referred to in section (3), Bank Indonesia may: a. request additional data and/or information; and/or b. confirm supporting documents submitted by other parties designated to support the provision of Pricing. (5) The results of the consultation as referred to in section (3) may be: a. letter of delivery of consultation results; or b. minutes of consultation results. (6) Other parties appointed to support the provision of Pricing shall submit a follow-up report on the implementation of the consultation results to Bank Indonesia. Article 23 Bank Indonesia may revoke the determination of another party to support the provision of Pricing based on the following considerations: a. results of Bank Indonesia's supervision and/or evaluation; b. information and/or data and recommendations from other relevant authorities, associations, and/or self- regulatory organizations in the Money Market and foreign exchange market; c. court decision that has permanent legal force; d. own request; e. imposition of sanctions; and/or f. other matters determined by Bank Indonesia. CHAPTER V ISSUANCE OF MONEY MARKET INSTRUMENTS Part One General Article 24

11 (1) Parties who wish to issue Money Market Instruments are required to obtain a license from Bank Indonesia before issuing Money Market Instruments. (2) Each party shall be prohibited from: a. issuing Money Market Instruments with a term of no more than 1 (one) year which are offered to the public; and/or b. issuing Money Market Instruments with a term of no more than 1 (one) year to be traded on the secondary market, without a license from Bank Indonesia. (3) Parties who violate the provisions as referred to in section (1) and/or section (2) shall be subject to administrative sanctions in the form of: a. written reprimand; and/or b. temporary, partial, or complete suspension of activities in the Money Market. Article 25 (1) The criteria for the issuance of Money Market Instruments as referred to in Article 6 point a shall include: a. general criteria; and b. special criteria. (2) The general criteria for the issuance of Money Market Instruments as referred to in section (1) point a shall include: a. Money Market Instrument criteria including:

1. scripless;
2. provide economic benefits;
3. using rupiah and/or foreign currency; and
4. fulfill information disclosure on Money Market Instruments; b. administered at the organizer of transaction settlement facilities, administration and/or storing of financial instruments (central custodian) as determined by Bank Indonesia; c. fulfill the transparency of information regarding issuers of Money Market Instruments; and d. other general criteria set by Bank Indonesia. (3) The special criteria for the issuance of Money Market Instruments as referred to in section (1) point b shall include: a. registration; b. offer; c. settlement and administration; and/or d. other special criteria, in accordance with the provisions established by Bank Indonesia. Article 26 (1) In the issuance of Money Market Instruments, Bank Indonesia shall determine requirements for issuers of Money Market Instruments which include: a. general requirements; and b. special requirements.

12 (2) The general requirements for issuers of Money Market Instruments as referred to in section (1) point a shall include: a. have good financial capabilities; b. have good governance; and c. other requirements determined by Bank Indonesia. (3) The special requirements for issuers of Money Market Instruments as referred to in section (1) point b shall be determined by Bank Indonesia based on the type of Money Market Instrument and taking into account the qualifications of the party who will become the issuer. Article 27 (1) In carrying out the activity of issuing Money Market Instruments, Money Market Instrument issuers are required to use the services of: a. supporting institutions for the issuance of Money Market Instruments as referred to in Article 5 section (2) point a which are registered with Bank Indonesia; and b. PUVA Supporting Professions as referred to in Article 5 section (3) which are registered with Bank Indonesia, if the issuer of Money Market Instruments uses the services of PUVA Supporting Professions. (2) Issuers of Money Market Instruments who violate the obligations as referred to in section (1) shall be subject to an administrative sanction in the form of a written reprimand. Part Two SBK Issuance Paragraph 1 Requirements for SBK Issuer Article 28 SBK issuers shall include: a. financial services institutions; b. incorporated entity; and c. other parties as determined by Bank Indonesia. Article 29 (1) SBK issuers as referred to in Article 28 must fulfill: a. general requirements as referred to in Article 26 section (1) point a; and b. special requirements as referred to in Article 26 section (1) point b for SBK issuers. (2) Special requirements for SBK issuers as referred to in section (1) point b shall include: a. is:

1. a stock issuer at the stock exchange organizer or has issued bonds and/or sukuk that are listed at the stock exchange organizer; or
2. not a stock issuer on the stock exchange organizer and has never issued bonds and/or sukuk that

13 are listed on the stock exchange organizer, however: a) has been operating for minimum 3 (three) years or less than 3 (three) years as long as it has a guarantee or surety; b) have equity of at least Rp50,000,000,000.00 (fifty billion rupiah); and c) generate net profit for the last 1 (one) year; b. has annual financial reports that:

1. obtain an unqualified opinion consecutively for the last 3 (three) years for prospective SBK issuers operating for 3 (three) years or more, or since the prospective SBK issuer began operating for prospective SBK issuers operating for less than3 (three) years; and
2. audited by a public accountant who is a PUVA Supporting Profession, specifically for the last audited annual financial report; c. not in a state of default in the form of failure to fulfill the financial obligations of the prospective SBK issuer to creditors at maturity with a value greater than 0.5% (zero point five percent) of the paid-up capital in the following period:
3. during the last 3 (three) years for prospective SBK issuers operating for 3 (three) years or more; or
4. since the prospective SBK issuer has been operating for prospective SBK issuers operating for less than 3 (three) years; d. has management with a good track record; e. has guidelines for the implementation of the principles of prudence and risk management; and f. fulfill other administrative requirements set by Bank Indonesia. Paragraph 2 SBK Issuance Criteria Article 30 (1) SBK issuance is required to fulfill: a. general criteria for issuing Money Market Instruments as referred to in Article 25 section (2) point a; and b. special criteria in the form of registration as referred to in Article 25 section (3) point a for the issuance of SBK, which shall include:
5. issued with a discount system or other type of coupon bearing;
6. value for each publication shall be at least: a) Rp10,000,000,000.00 (ten billion rupiah); or b) USD1,000,000.00 (one million United States dollars) or its equivalent in other foreign currencies;
7. purchases of SBK by investors at least: a) Rp. 25,000,000.00 (twenty-five million rupiah); or

14 b) USD2,500.00 (two thousand and five hundred United States dollars) or its equivalent in other foreign currencies; 4. has the maximum tenor of: a) 366 (three hundred and sixty-six) calendar days in the event that there is a date of 29 February in the outstanding SBK period; or b) 365 (three hundred and sixty-five) calendar days in the event that there is no 29 February in the outstanding SBK period; 5. has the lowest instrument rating is in the short￾term rating: a) at the idA3, F3(idn) level, or equivalent level in terms of the ranking being a national ranking; and/or b) at level A-3, F3, P-3, or equivalent level in terms of ranking is an international ranking, issued by a rating agency which is a Money Market Supporting Institution. (2) In 1 (one) issuance, the SBK issued may consist of several SBK series. (3) Examples of fulfillment of the SBK instrument rating requirements as referred to in section (1) point b number 5 are listed in Annex III which constitutes an integral part of Regulation of Member of Board of Governors. Paragraph 3 SBK Investor Qualifications Article 31 (1) SBK investor qualifications include: a. financial services institutions; b. individuals who meet the following criteria:

1. own: a) current assets of at least Rp10,000,000,000.00 (ten billion rupiah); or b) portfolio in the Money Market and/or capital market of at least Rp3,000,000,000.00(three billion rupiah); and
2. have investment experience in the Money Market and/or capital market for minimum 1 (one) year; and c. corporations that meet the following criteria:
3. own: a) current assets of at least Rp20,000,000,000.00 (twenty billion rupiah); or b) portfolio in the Money Market and/or capital market of Rp6,000,000,000.00 (six billion rupiah); and
4. have investment experience in the Money Market and/or capital market for minimum 1 (one) year. (2) Fulfillment of the SBK investor qualifications as referred to in section (1) are required to ensured by: a. SBK issuer;

15 b. supporting institutions for the issuance of Money Market Instruments in the form of arrangers; c. supporting institutions for Money Market Transactions; and d. supporting institution for the settlement and administration of Money Market Transactions. (3) The obligations as referred to in section (2) shall be fulfilled by asking prospective SBK investors to submit a statement that they have met the SBK investor qualifications as referred to in section (1). (4) in the event that a prospective SBK investor does not meet the qualifications as referred to in section (1), the Money Market Supporting Institutions as referred to in section (2) point b, point c, and point d are required to reject the SBK transaction instruction. Paragraph 4 SBK Licensing Article 32 (1) The license as referred to in Article 24 section (1) for SBK issuers shall be granted in the form of approval. (2) Approval as an SBK issuer from Bank Indonesia as referred to in section (1) shall be valid for 3 (three) years. (3) During the approval period, the SBK issuer may issue SBK more than 1 (one) time. (4) SBK issuers are required to submit their SBK issuance plans to Bank Indonesia each time they issue SBK. Article 33 (1) To obtain approval as an SBK issuer as referred to in Article 32 section (1), the prospective SBK issuer shall submit a letter of application for approval as an SBK issuer to Bank Indonesia. (2) The letter of request for approval as referred to in section (1) shall be accompanied by supporting documents in the form of: a. supporting documents to fulfill the requirements of the SBK issuer; b. document for the first submission of SBK issuance plan; and c. other administrative documents stipulated by Bank Indonesia. (3) An example of a letter of request for approval as an SBK issuer shall be as stated in Annex III. Article 34 (1) Supporting documents for the fulfillment of the requirements for SBK issuers as referred to in Article 33 section (2) point a shall include: a. information on prospective SBK issuers signed by at least 1 (one) member of the board of directors; b. a copy of the deed of establishment that has been approved by the authorized agency, including the latest amendments to the articles of association that have received approval from the authorized agency or

16 a letter of receipt of notification of changes to the articles of association has been issued by the authorized agency; c. annual financial report of prospective SBK issuers with the following provisions:

1. audited financial reports for the last 3 (three) financial years or since its establishment for prospective SBK issuers that have been established for less than 3 (three) years; and
2. in the event that the financial report for the last financial year has not been audited, the prospective SBK issuer may submit an unaudited financial report for the last financial year; d. a statement letter from the prospective SBK issuer stating that the prospective SBK issuer has not been in default for the last 3 (three) years up to the date of submission of the application for approval as an SBK issuer or has not been in default for prospective SBK issuers operating for less than 3 (three) years; e. documents from each member of the board of commissioners and directors of the prospective SBK issuer in the form of:
3. documents containing information about life resume; and
4. a personal statement with sufficient stamp duty stating that one is not currently undergoing legal proceedings as a suspect with a sentence of more than 5 (five) years and has never been convicted for being proven to have committed a criminal crime in the financial sector, corruption, and/or money laundering based on a court decision that has permanent legal force; f. legal opinion from a legal consultant who is a PUVA Supporting Profession; g. a statement letter containing the commitment of the management of the prospective SBK issuer to:
5. apply the principles of prudence and risk management in issuing SBK as regulated in Bank Indonesia's provisions regarding money markets and foreign exchange markets; and
6. fulfill other provisions stipulated in Bank Indonesia's provisions regarding money markets and foreign exchange markets, signed by at least 1 (one) member of the board of directors of the prospective SBK issuer; and h. a statement letter from the prospective SBK issuer signed by at least 1 (one) member of the board i. of directors, stating that:
7. all material information and facts in the information memorandum and additional information during the approval period; and
8. all other information related to the issuance of SBK, are not misleading, are true, and are accountable. (2) In the event that the prospective SBK issuer is a stock issuer and/or has issued bonds and/or sukuk as referred

17 to in Article 29 section (2) point a number 1, the prospective SBK issuer must submit additional supporting documents as follows: a. a statement letter from the prospective SBK issuer signed by at least 1 (one) member of the board of directors stating that the shares and the share code of the prospective SBK issuer are registered with the stock exchange organizer, accompanied by supporting documents, if the prospective SBK issuer is a stock issuer; and/or b. a copy of the effective statement letter regarding the issuance of bonds and/or sukuk that has been carried out which has been issued by the relevant authority and a copy of the certificate of registration of bonds and/or sukuk when they are listed on the stock exchange organizer, if the prospective SBK issuer is an issuer that has previously issued bonds and/or sukuk. (3) Examples of documents shall include: a. information documents for prospective SBK issuers as referred to in section (1) point a; b. statement letter regarding fulfillment of the conditions of default as referred to in section (1) point d; c. a statement letter regarding the commitment of the management of the prospective SBK issuer as referred to in section (1) point g; and d. statement regarding the disclosure and truth of the information as referred to in section (1) point h, as stated in Annex III. Article 35 (1) The legal opinion as referred to in Article 34 section (1) point f is an opinion on the legal aspects related to the prospective SBK issuer which shall be used for the purposes of applying for approval as an SBK issuer. (2) In preparing the legal opinion as referred to in section (1), the legal consultant shall carry out due diligence on the legal aspects of: a. prospective SBK issuers; and b. a subsidiary of which shares are owned by the prospective SBK issuer by 50% (fifty percent) or more and the subsidiary in question:

1. provides a significant income contribution; and/or
2. shall carry out business activities that are important for the continuity of the business of prospective SBK issuers. (3) In preparing due diligence on the legal aspects of prospective SBK issuers as referred to in section (2) point a, legal consultants shall carry out due diligence on the legal aspects of at least: a. deed of establishment and all amendments thereto; b. licenses and material approvals that are directly related to the primary business activities that make

18 a significant contribution to the business continuity of the prospective SBK issuer; c. review of the fulfillment of the requirements for SBK issuers as referred to in Article 29; d. guarantee or surety status for:

1. prospective SBK issuers who shall required to have guarantees or surety in the issuance of SBK; and
2. prospective SBK issuers who are not required but have guarantees or surety in the issuance of SBK; e. material obligations that are still valid and are considered to have a negative impact on the implementation of SBK issuance; f. material assets of the prospective SBK issuer which are directly used for the implementation of the prospective SBK issuer's primary business activities; and g. cases, disputes, or claims involving the prospective SBK issuer, members of the board of directors, and/or board of commissioners of the prospective SBK issuer which may materially affect the financial condition and business continuity of the prospective SBK issuer. (4) In preparing due diligence on the legal aspects of a subsidiary as referred to in section (2) point b, the legal consultant shall carry out due diligence to ensure the validity of the share ownership of the prospective SBK issuer in the subsidiary and examine the legal aspects of the subsidiary's primary business activities. (5) In the event of issuing SBK using guarantees or surety as referred to in section (3) point d number 1, the legal consultant shall carry out due diligence on the guarantor or suretor and the validity of the guarantee or surety aspects. (6) In the event of issuing SBK using guarantees or surety as referred to in section (3) point d number 2, the legal consultant shall carry out due diligence on the validity of the guarantee or surety aspects. Article 36 (1) Documents for the first submission of SBK issuance plan as referred to in Article 33 section (2) point b shall include: a. information memorandum; b. a copy of the rating certificate and a copy of the SBK rating letter to be issued, issued by a rating agency which is a Money Market Supporting Institution; c. proof of initial collective issuance of the SBK to be issued; and d. power of attorney from the prospective SBK issuer to Bank Indonesia to obtain data and information regarding the investor's ownership position in the SBK to be issued, signed by at least 1 (one) member of the board of directors. (2) Examples of documents shall include: a. proof of initial collective issuance of the SBK to be issued; and

19 b. power of attorney regarding investor ownership position data on SBK, as stated in Annex III. Article 37 (1) The SBK information memorandum shall be prepared using writing rules that make it easy for prospective investors and/or SBK investors to read and understand the information in the SBK information memorandum. (2) The procedures for the preparation of the SBK information memorandum as referred to in section (1) shall be as stated in Annex III. Article 38 The SBK information memorandum shall contain: a. front page; b. table of contents; c. SBK offering structure and planned use of funds; d. terms and conditions; e. information related to SBK issuers; f. information related to purchasing and ordering SBK; and g. SBK issuer's statement regarding the disclosure of all material information and facts in the information memorandum and the truth of the contents of the information memorandum. Article 39 (1) The front page as referred to in Article 38 point a shall contain the main information that prospective SBK investors need to know in connection with the issuance of SBK. (2) The information on the front page as referred to in section (1) must at least contain information regarding: a. summary of SBK issuance details, which shall include:

1. issuance schedule, including: a) offer period; b) nominal determination date; c) payment date; and d) SBK distribution date;
2. a brief description of the SBK to be issued, including: a) instrument type; b) SBK name; c) instrument form; d) issuance nominal; e) maximum nominal outstanding issuance; f) issuance tenor; g) discount rate or coupon bearing; h) settlement date; and i) information regarding guarantees or surety, if using guarantees or surety; b. summary of SBK issuers shall include:
3. full name of prospective SBK issuer;
4. address of prospective SBK issuer;
5. telephone/facsimile number;

20 4. SBK prospective issuer page; 5. primary business activities; and 6. date of approval as SBK issuer; c. SBK instrument ratings and disclosure of the rating agency that provided the rating; d. name of the arranger and disclosure of the word 'affiliated' if the arranger is a party affiliated with the SBK issuer; e. place and date of issuance of the information memorandum; f. a statement in capital letters that may immediately attract the attention of potential SBK investors, in the form of:

1. “BANK INDONESIA DOES NOT PROVIDE AN ASSESSMENT OF THE ADVANTAGES OR WEAKNESSES OF THE COMMERCIAL SECURITIES ISSUED. FULFILLMENT OF THE OBLIGATIONS OF THE ISSUER OF COMMERCIAL SECURITIES IS ENTIRELY THE RESPONSIBILITY OF THE ISSUER OF COMMERCIAL SECURITIES. THE RISK OF INVESTING IN COMMERCIAL SECURITIES IS THE RESPONSIBILITY OF THE INVESTOR.”;
2. “THESE COMMERCIAL SECURITIES ARE ONLY OFFERED AND TRADED TO QUALIFIED INVESTORS.”; and
3. “THE ISSUER IS FULLY RESPONSIBLE FOR THE ACCURACY OF ALL INFORMATION OR MATERIAL FACTS AND OTHER INFORMATION CONTAINED IN THIS INFORMATION MEMORANDUM.”; g. confirmation that the information memorandum and its supporting documents are a single unit and need to be read and reviewed together; h. disclosure that a legal opinion has been provided by listing the name of the legal consultant used; i. confirmation that information of a forecast nature contains elements of uncertainty, which may cause actual results to differ from those predicted; j. affirmation that every investor interested in purchasing SBK is obliged to conduct their own analysis in making a decision to invest in SBK; and k. a brief statement regarding possible risk factors for SBK investments. Article 40 The SBK offering structure as referred to in Article 38 point c must contain at least the following information: a. issuer name; b. type of instrument; c. SBK name; d. currency denomination; e. issuance tenor; f. interest treatment; g. discount rate or coupon bearing; h. issuance nominal;

21 i. maximum nominal outstanding issuance; j. minimum nominal purchase; k. minimum nominal transfer; l. instrument form; m. central custodian of instruments; n. instrument rating; o. guarantee or surety; p. offer period; q. date of determination of nominal issuance; r. payment date; s. distribution date; and t. other information. Article 41 The plan for the use of funds as referred to in Article 38 point c must at least contain information regarding the purpose of the short-term use of funds resulting from the issuance of SBK accompanied by an explanation. Article 42 The terms and conditions as referred to in Article 38 point d at least contain the following information: a. calculation of price and discount rate or coupon bearing; b. settlement mechanism from the SBK issuer in the event of delays in SBK distribution or payment of settlement obligations; c. responsibility and settlement mechanism of the SBK issuer in the event of failure to distribute the SBK or make a payment; d. taxation; e. Indonesian law as the applicable law; f. dispute resolution mechanisms in Indonesia; and g. notification to prospective investors that by purchasing SBK on the primary market and/or secondary h. market, investors agree to the provision of data and/or information in the form of:

1. ownership of SBK; and
2. transactions and settlement of SBK transactions carried out, to Bank Indonesia. Article 43 Information related to the SBK issuer as referred to in Article 38 point e shall consist of: a. information regarding prospective SBK issuers; b. business activities and business prospects; c. business risk; d. financial condition of prospective SBK issuers; e. rating rationale for the SBK to be issued; and f. legal opinion from a legal consultant. Article 44 (1) Information regarding prospective SBK issuers as referred to in Article 43 point a must contain at least: a. establishment of a prospective SBK issuer, which shall at least include:

22

1. full name of the prospective SBK issuer, time of establishment, and scope of its business, based on the deed of establishment and the latest amendment to the articles of association; and
2. explanation regarding other legal documents stating the validity of the prospective SBK issuer and the scope of business carried out by the prospective SBK issuer; b. organizational structure of the prospective SBK issuer which describes all the main functions of the prospective SBK issuer in carrying out its business activities; c. list of management of prospective SBK issuers consisting of the board of commissioners and directors, accompanied by educational background and work experience; d. development of controlling share ownership of prospective SBK issuers and changes in the last 3 (three) years; e. description of subsidiary entities that have significant relationships with prospective SBK issuers, including:
3. name of subsidiary;
4. date of establishment of the subsidiary;
5. the type of business run by the subsidiary; and
6. subsidiary relationship with prospective SBK issuers; and f. Information regarding the guarantor or suretor must at least include:
7. name of guarantor or suretor;
8. business activities and legality of the guarantor or suretor; and
9. a brief description of the capabilities of the guarantor or suretor in carrying out guarantees or surety,
10. if the prospective SBK issuer must have guarantee or surety as referred to in Article 29 section(2) point a number 2 point a. (2) The significant relationship as referred to in section (1) point e is a relationship that may influence the performance of the prospective SBK issuer through share ownership by the prospective SBK issuer in a subsidiary of 50% (fifty percent) or more, and the subsidiary in question: a. provide a significant income contribution to the business continuity of the prospective SBK issuer; and/or b. carry out business activities that are important for the continuity of the business of prospective SBK issuers. Article 45 Information regarding business activities and business prospects as referred to in Article 43 point b shall contain at least: a. an explanation of the business activities currently carried out by the prospective SBK issuer and an explanation of

23 the scope of the business when the prospective SBK issuer was established and its development in the last 1 (one) year; b. explanation regarding the main products of the prospective SBK issuer and the production or business process, at least regarding:

1. the main products of the prospective SBK issuer and the location where the prospective SBK issuer's main operational activities are carried out;
2. production processes, distribution systems, and marketing; and
3. the seasonal nature of the business activities of the prospective SBK issuer which affects sales revenue; and c. analysis of business strategies and short-term business prospects taking into account relevant domestic and global economic conditions. Article 46 Information regarding business risks as referred to in Article 43 point c must contain at least: a. disclosure of business risks that have a significant impact on the business continuity of prospective SBK issuers; b. the scope of business risks as referred to in point a including business risks originating from:
4. macroeconomic factors; and
5. microeconomic factors; c. commitments that have the potential to result in a significant increase or decrease in the financial condition of the prospective SBK issuer; d. information regarding cases, disputes, or claims involving the prospective SBK issuer and which may materially affect the financial condition and business continuity of the prospective SBK issuer, if any; and e. SBK investment risk. Article 47 (1) Information regarding the financial condition of prospective SBK issuers as referred to in Article 43 point d shall at least contain: a. overview of important financial data; b. default event; c. debt statement; and d. significant events after the date of the last audited annual financial reports. (2) The summary of important financial data as referred to in section (1) point a shall be prepared with the following provisions: a. presented annually:
6. for the last 3 (three) years, for prospective SBK issuers who have been operating for more than 3 (three) years; or
7. since the prospective SBK issuer started operating, for prospective SBK issuers operating for less than 3 (three) years; b. sourced from annual financial reports, at least:

24

1. financial position report at the end of the period;
2. statement of profit or loss and other comprehensive income for the period;
3. cash flow statement during the period; and
4. statement of changes in equity during the period; and c. presented together with financial ratios that may provide an overview of short-term and long-term risks in accordance with the business sector run by the prospective SBK issuer. (3) The summary of important financial data as referred to in section (1) point a must be accompanied by an analysis of the discussion explaining the financial condition of the prospective SBK issuer based on the financial report, with an explanation that shall include at least: a. significant changes in revenue that are caused by extraordinary events and are likely to be non￾recurring; b. material increase in debt for short-term or long-term investment purposes, which are directly or indirectly related to the business activities of the prospective SBK issuer in producing the main product; c. engagements that have a significant impact on the income and/or expenses of the prospective SBK issuer in the next 2 (two) years; and d. obligations or commitments or contingencies that have occurred and have not yet been realized, but will significantly affect the income and/or expenses of the prospective SBK issuer in carrying out operational activities in the next 2 (two) years. (4) Information related to the default event as referred to in section (1) point b shall at least contain: a. there has never been a default event; and b. the occurrence of a default event that has been experienced including its resolution, by SBK issuer. (5) Information related to the debt statement as referred to in section (1) point c shall contain at least: a. long-term and short-term debt positions at the last annual financial report date; b. disclosure of long-term and short-term debt positions by currency; and c. disclosure of agreements arising from debt binding and implementation of the fulfillment of these agreements. (6) Information related to important events after the date of the last annual financial report audited by a public accountant as referred to in section (1) point d shall at least contain material information and facts that occurred after the date of the last annual financial report audited by a public accountant up to the date of submission of the SBK issuance plan. Article 48 (1) Information related to the rating rationale as referred to in Article 43 point e shall at least contain information on the

25 rating agency's analysis in the assessment of the SBK rating. (2) Information related to legal opinions as referred to in Article 43 point f shall contain information regarding legal opinions provided by legal consultants as referred to in Article 34 section (1) point f. Article 49 Information related to the purchase and ordering of SBK as referred to in Article 38 point f shall contain information regarding: a. Money Market Supporting Institutions, PUVA Supporting Professions, and other institutions involved in the SBK issuance process; b. how to obtain information for prospective SBK investors; and c. SBK purchasing and ordering procedures. Article 50 (1) Information regarding Money Market Supporting Institutions, PUVA Supporting Professions, and other institutions involved in the SBK issuance process as referred to in Article 49 point a shall contain at least: a. arranger; b. legal consultant; c. public accountant; d. notary; e. rating agencies; and f. other institutions involved inlcuding:

1. SBK paying agent; and
2. 4 monitoring agents, if using a monitoring agent. (2) Disclosure of information as referred to in section (1) must include information regarding whether or not there is an affiliate relationship with the SBK issuer. (3) The classification of affiliated relationships as referred to in section (2) shall refer to Bank Indonesia provisions regarding money market supporting institutions. Article 51 Information regarding the method of obtaining information for prospective SBK investors as referred to in Article 49 point b shall at least contain: a. media and mechanisms for obtaining information; and b. contact person. Article 52 (1) Information regarding the SBK purchase and ordering procedures as referred to in Article 49 point c shall contain information regarding the SBK ordering procedures for prospective SBK investors who are interested. (2) The information referred to in section (1) shall at least contain: a. SBK purchasing and ordering procedures; and b. the party that may be contacted to make purchases and orders.

26 Article 53 The statement of the SBK issuer regarding the disclosure of all material information and facts in the information memorandum and the truth of the contents of the information memorandum as referred to in Article 38 point g shall be signed by a party representing the prospective SBK issuer and contains a statement from the prospective SBK issuer that: a. all material information and facts have been disclosed in the SBK information memorandum; and b. the information contained in the SBK information memorandum is not misleading and is true. Article 54 Application for approval as an SBK issuer as referred to in Article 33 shall be submitted to the licensing front office in accordance with Bank Indonesia's provisions regarding Bank Indonesia's integrated licensing through the licensing front office. Article 55 (1) Bank Indonesia shall conduct research into the completeness and administrative correctness of the approval application as referred to in Article 33 in accordance with Bank Indonesia's provisions regarding Bank Indonesia's integrated licensing through the licensing front office. (2) In the event that the application documents for approval are complete and administratively correct, Bank Indonesia shall conduct a substantive truth research process. (3) In the event that based on the substantive truth research as referred to in section (2) there are supporting documents that are substantially noncomplying, Bank Indonesia shall provide notification to the prospective SBK issuer to complete and/or correct the application documents. (4) Prospective SBK issuers must complete and/or correct application documents that are substantially noncomplying as referred to in section (3) not later than 10 (ten) Business Days from the date of notification by Bank Indonesia. (5) In the event that the time limit as referred to in section (4) has passed and: a. supporting documents are not submitted; or b. supporting documents have been submitted but are incomplete and/or not in compliance, the prospective SBK issuer shall be deemed to have canceled its application for approval as an SBK issuer. (6) Bank Indonesia will provide notification to prospective SBK issuers through the licensing application if the documents submitted are incomplete and/or not in compliance as referred to in section (5) point b. (7) In conducting substantive research as referred to in section (2), Bank Indonesia may request clarification and/or additional documents and/or information from prospective SBK issuers in the form of: a. written through the licensing app; b. offline and/or online meetings; and/or

27 c. other forms determined by Bank Indonesia. Article 56 (1) Bank Indonesia shall provide approval or rejection of the application for approval as an SBK issuer as referred to in Article 54 not later than 15 (fifteen) Business Days after the required documents are substantively in compliance. (2) The letter of approval as the SBK issuer as referred to in section (1) shall contain at least the following information: a. maximum nominal outstanding SBK issuance permitted; b. validity period of approval as SBK issuer; and c. central custodian information determined by Bank Indonesia. (3) The letter of approval or rejection as referred to in section (1) shall be submitted paperlessly in accordance with Bank Indonesia's provisions regarding Bank Indonesia's integrated licensing through the licensing front office. (4) Bank Indonesia shall publish the SBK issuer's approval on the Bank Indonesia website and/or other media determined by Bank Indonesia. Paragraph 5 SBK Offer Article 57 (1) After obtaining approval as an SBK issuer as referred to in Article 56, the SBK issuer shall carry out: a. offering to potential SBK investors; and b. submission of application for registration of SBK administration to the central custodian appointed by Bank Indonesia. (2) In carrying out an offering as referred to in section (1) point a, the SBK issuer shall use the services of an arranger which is a Money Market Supporting Institution. Article 58 (1) SBK issuers and/or arrangers must carry out SBK offerings responsibly and have good governance. (2) In carrying out an offering as referred to in section (1), the SBK issuer and/or the arranger shall submit an information memorandum to prospective SBK investors. (3) The offer as referred to in section (1) shall be made in accordance with the offer period contained in the information memorandum. Article 59 In making an SBK offering, the SBK issuer and/or arranger shall apply at least the following aspects: a. determination of the nominal SBK; b. payment for SBK purchases; and c. SBK distribution. Article 60

28 (1) The implementation of the determination of the nominal SBK aspect as referred to in Article 59 point a shall be carried out with the following provisions: a. the determination of the nominal SBK shall carried out not later than 2 (two) Business Days after the end of the offer period; b. the determination of the nominal SBK as referred to in point a shall be a maximum of the nominal SBK issuance stated in the information on the SBK issuance plan submitted to Bank Indonesia; and c. in the event that the total nominal SBK request by a prospective SBK investor exceeds the nominal SBK offered by the SBK issuer, the SBK issuer and/or the arranger shall allocate the SBK to the prospective SBK investor so that the nominal SBK issued does not exceed the nominal SBK as referred to in point b. (2) The determination of the nominal SBK as referred to in section (1) shall be carried out by taking into account good governance and elements of fairness for investors. Article 61 (1) The implementation of the payment aspects for SBK purchases as referred to in Article 59 point b shall include the determination of an account at a bank appointed by the SBK issuer to receive payments for SBK purchases. (2) Payment as referred to in section (1) shall be made not later than at the time of SBK distribution. Article 62 (1) The implementation of the SBK distribution aspect as referred to in Article 59 point c shall be carried out with the following provisions: a. distribution of SBK to SBK investors are required to carried out not later than :

1. 25 (twenty-five) Business Days after the date of approval as the SBK issuer as referred to in Article 56; and
2. 2 (two) Business Days after the date of determination of the nominal SBK issued as referred to in Article 60 section (1) point a; and b. the distribution of SBK as referred to in point a shall be deemed to have occurred if the SBK has been electronically recorded at the central custodian designated by Bank Indonesia. (2) In the event of a delay in SBK distribution, the SBK issuer must pay a late fine to the SBK investor in accordance with the late fine payment mechanism determined by the SBK issuer as stated in the SBK information memorandum. Paragraph 7 SBK Administration Article 63 (1) SBK issuers must issue proof of collective issuance of the SBK they issue.

29 (2) Evidence of collective issuance of SBK as referred to in section (1) may be supplemented by the SBK issuer with a deed of issuance statement. Article 64 (1) Proof of collective issuance of SBK as referred to in Article 63 section (1) must be issued immediately after the SBK issuer receives payment for SBK orders from all SBK investors. (2) In the event that the SBK issuer issues several SBK series in 1 (one) SBK issuance, then proof of collective SBK issuance as referred to in section (1) must be made for each SBK series issued. Article 65 (1) Evidence of collective issuance of SBK as referred to in Article 63 section (1) shall be prepared in accordance with the requirements as stipulated in the Commercial Law Code. (2) Evidence of collective issuance of SBK as referred to in section (1) must contain the guarantee or surety in question if the SBK is issued accompanied by a guarantee or surety. (3) The format for proof of collective issuance of SBK as referred to in section (1) and section (2) shall be as stated in Annex III. Article 66 Proof of collective issuance of SBK as referred to in Article 63 section (1) must be submitted by the SBK issuer to Bank Indonesia or the central custodian appointed by Bank Indonesia not later than 1 (one) Business Day before the SBK distribution date. Paragraph 8 Submission of Information on Realization of SBK Issuance Article 67 (1) SBK issuers must submit information on the realization of SBK issuance to Bank Indonesia not later than 5(five) Business Days after the SBK distribution date. (2) Information on the realization of SBK issuance as referred to in section (1) shall be submitted through a letter of information delivery on the realization of SBK issuance accompanied by supporting documents that shall at least include: a. recapitulation of SBK distribution results; b. copies of information memorandums and/or other documents used in the offer; and c. a statement letter from the SBK issuer stating that the information memorandum and/or other documents submitted to prospective SBK investors in the context of the offering are the same as the information memorandum and/or other documents that have been submitted to Bank Indonesia when submitting information on the SBK issuance plan.

30 (3) Letters and supporting documents as referred to in section (2) shall be submitted in the form of soft copies through electronic mail. (4) An example of a document for the submission of information on the realization of SBK issuance as referred to in section (3) shall be as stated in Annex III. Paragraph 9 Postponement and Cancellation of SBK Offerings Article 68 (1) Postponement of the SBK offering may only be conducted 1 (one) time for each SBK issuance and before the offering is made as referred to in Article 57 section (1) point a. (2) The maximum period for postponing the SBK offering shall be 1 (one) month from the deadline for implementing the initial distribution as stipulated in Article 62 section (1) point a number 1. (3) SBK issuers and/or arrangers are required to distribute SBK within the time limit as referred to in section (2). Article 69 (1) SBK issuers may postpone the SBK offering as referred to in Article 68 section (1) by first submitting a postponement plan to Bank Indonesia. (2) Submission of the postponement plan as referred to in section (1) shall be made not later than 7(seven) Business Days before the SBK distribution deadline as referred to in Article 68 section (2). (3) Submission of the postponement plan as referred to in section (1) shall be carried out by submitting information containing at least the reasons for postponing the SBK offering. (4) An example of the submission of information regarding the planned postponement of the SBK offering as referred to in section (1) shall be as stated in Annex III. (5) Documents for the submission of the plan to postpone the SBK offering as referred to in section (1) shall be submitted in the form of a softcopy through electronic mail. Article 70 (1) SBK issuers may only cancel SBK offerings before the SBK nominal value is determined as referred to in Article 59 point a. (2) In the event of cancellation of the SBK offering as referred to in section (1) and the prospective SBK investor has made payment, the SBK issuer and/or the arranger are required to refund the funds to the prospective SBK investor. (3) Refunds to prospective SBK investors as referred to in section (2) shall be conducted in accordance with the refund mechanism determined by the SBK issuer and stated in the SBK information memorandum. Article 71 In the event that the cancellation as referred to in Article 70 section (1) is carried out by SBK issuer that is making an offer

31 for the first time, then the approval as SBK issuer shall be declared null and void by law. Paragraph 10 SBK Issuance after First Issuance Article 72 (1) In the event that the SBK issuer will issue SBK after the first issuance, the SBK issuer is required to submit information on the issuance plan to Bank Indonesia. (2) Submission of information regarding the planned issuance of SBK as referred to in section (1) shall be carried out not later than 15 (fifteen) Business Days before the implementation of the SBK offering. (3) Submission of information regarding the planned issuance of SBK as referred to in section (1) shall be carried out by submitting a letter of submission of information regarding the planned issuance of SBK accompanied by supporting documents in the form of: a. additional information; and b. other administrative documents. (4) Additional information as referred to in section (3) point a shall at least include: a. the amount of funds that have been collected in the issuance of SBK since obtaining approval as an SBK issuer; b. the outstanding number of SBK issuances that have been issued; c. SBK name; d. currency denomination; e. issuance tenor; f. interest treatment; g. discount rate or coupon bearing; h. issuance nominal; i. minimum nominal purchase; j. minimum transfer amount; k. instrument rating; l. SBK issuance time plan; m. plan for use of funds, if there are changes, along with the reasons for the changes; n. overview of important financial data; o. SBK guarantee or surety, if any; p. SBK issuer's statement that all material information and facts have been disclosed and are not misleading; q. statements in capital letters, in the form of:

1. “THIS OFFER IS THE SBK OFFER OF THE...STAGE OF SBK ISSUANCE WHICH HAS BECOME EFFECTIVE.”;
2. “THIS ADDITIONAL INFORMATION CONSTITUTES AN AMENDMENT AND/OR ADDITIONAL INFORMATION TO THE INFORMATION MEMORANDUM PREVIOUSLY ISSUED BY THE COMPANY IN CONNECTION WITH THE SBK OFFERING AND ALL MATERIAL

32 CHANGES HAVE BEEN CONTAINED IN THIS ADDITIONAL INFORMATION.”; and 3. “THESE COMMERCIAL SECURITIES ARE ONLY OFFERED AND TRADED TO QUALIFIED INVESTORS.”; r. statement from the SBK issuer stating that the SBK issuer has not experienced a default condition since approval as an SBK issuer until the date of submission of additional information; s. information regarding the issuer's financial obligations that will mature within the next 3 (three) months accompanied by information regarding how to fulfill the financial obligations in question; and t. changes and/or additional information to the information memorandum, if any. (5) In the event that Bank Indonesia does not provide a response within 7 (seven) Business Days from when the complete documents are received, the SBK issuer may continue with the SBK issuance plan. Article 73 (1) SBK issuers and/or arrangers are required to distribute SBK not later than 40 (forty) Business Days from the document for the submission of the SBK issuance plan is submitted to Bank Indonesia. (2) The provisions regarding the offering of SBK as referred to in Articles 57 to 62, the administration of SBK as referred to in Articles 63 to 66, the submission of information on the realization of SBK issuance as referred to in Article 67, and the postponement and cancellation of SBK offerings as referred to in Articles 68 to 70, shall apply mutatis mutandis to the issuance of SBK after the first issuance as referred to in Article 72. Paragraph 11 Disclosure of Information Regarding SBK Issuance Article 74 (1) SBK issuers are required to disclose the rating of the SBK issued to prospective SBK investors and/or SBK investors after obtaining approval as an SBK issuer from Bank Indonesia. (2) Disclosure of the SBK rating as referred to in section (1) shall be carried out not later than the start date of the offering period. (3) SBK issuers must ensure that disclosure of SBK ratings as referred to in section (1) is carried out at least through the SBK issuer's website and the website of the rating agency that assessed the SBK rating issued. Article 75 (1) In making an SBK offering, the SBK issuer and/or arranger must: a. provide convenience to potential SBK investors to access information memorandums, additional

33 information, and/or other documents related to SBK issuance; b. ensure that prospective SBK investors have read the information memorandum, additional information, and/or other documents relating to information disclosure before declaring an SBK order; c. provide information to potential SBK investors regarding:

1. the licensing status from Bank Indonesia for the SBK issuer and the party making the SBK offer;
2. the investor's obligation to make payments after the nominal value and allocation of SBK has been determined by the SBK issuer and/or the arranger; and
3. information on the rights and obligations of prospective SBK investors. (2) Prospective SBK investors may request an information memorandum, additional information, and/or other documents from the SBK issuer and/or the arranger. Article 76 (1) SBK issuers are required to disclose material information and facts to prospective SBK investors and/or SBK investors if there are changes in material information and facts related to the condition of the SBK issuer after the SBK issuance. (2) Disclosure of material information and facts as referred to in section (1) shall be carried out through the SBK issuer's website and/or other media. (3) Disclosure of material information and facts as referred to in section (1) must fulfill the principles of openness of information which include completeness, adequacy, objectivity, clarity, and ease of understanding. Article 77 (1) Changes to information and material facts as referred to in Article 76 section (1) may take the form of updating information and material facts contained in the information memorandum, additional information, and/or other documents as well as the addition of new information and material facts. (2) The material information and facts as referred to in section (1) shall include: a. update on the financial condition of the SBK issuer in the form of an audited annual financial report; b. changes in the business activities of SBK issuers; c. changes to the board of commissioners and/or directors of the SBK issuer; d. legal cases experienced by the SBK issuer, board of commissioners, and/or directors of the SBK issuer; e. results of special supervision from relevant authorities; f. changes in the ratings of SBKs that have been issued and have not yet matured; g. default event; h. information on each realization of SBK issuance; and

34 i. information and other material facts. Article 78 Disclosure of information as referred to in Article 76 section (1) shall be carried out not later than : a. 4 (four) months from the date of the financial report, for the audited annual financial report as referred to in Article 77 section (2) point a; and/or b. 5 (five) Business Days after the occurrence of an incident or event categorized as material information and facts as referred to in Article 77 section (2) points b to i. Paragraph 12 Administrative Sanctions Article 79 (1) SBK issuers who violate the provisions as referred to in Article 30 section (1), Article 31 section (2), Article 32 section (4), Article 62 section (1) point a, Article 68 section (3), Article 70 section (2), Article 72 section (1), Article 73 section (1), Article 74 section (1), and/or Article 76 section (1), shall be subject to administrative sanctions in the form of: a. written reprimand; and/or b. temporary, partial, or complete suspension of activities in the Money Market. (2) Arrangers who violate the provisions as referred to in Article 31 section (2), Article 31 section (4), Article 62 section (1) point a, Article 68 section (3), Article 70 section (2), and/or Article 73 section (1) shall be subject to administrative sanctions in the form of: a. written reprimand; b. temporary, partial, or complete suspension of activities in the Money Market; and/or c. revocation of registered status in the Money Market and foreign exchange market. (3) Institutions supporting intermediaries for Money Market Transactions, and institutions supporting the settlement and administration of Money Market Transactions that violate the provisions as referred to in Article 31 section (2) and/or section (4), shall be subject to administrative sanctions in the form of: a. written reprimand; b. temporary, partial, or complete suspension of activities in the Money Market; and/or c. revocation of registered status in the Money Market and foreign exchange market. Part Three Consultation on Money Market Instruments other than SBK Article 80 (1) Parties who have plans to develop and/or issue Money Market Instruments other than SBK may consult with Bank Indonesia.

35 (2) The results of the consultation as referred to in section (1) may be used as a consideration by Bank Indonesia to develop Money Market Instruments. CHAPTER VI MONEY MARKET TRANSACTIONS Part One General Article 81 Types of Money Market Transactions shall include: a. trading of financial instruments in the Money Market; b. money lending transactions other than credit; c. repurchase agreements; d. Interest Rate Derivative Transactions; and e. other transactions in accordance with the characteristics of the Money Market as determined by Bank Indonesia. Article 82 In carrying out Money Market Transactions, Money Market Transaction Participants shall be prohibited from using: a. financial market infrastructure organized without a license from Bank Indonesia; b. services of Money Market Supporting Institutions that are not registered with Bank Indonesia; and c. PUVA Supporting Professional services that are not registered with Bank Indonesia. Part Two Trading of Financial Instruments in the Money Market Paragraph 1 SBK Transactions in the Secondary Market Article 83 (1) SBK transactions in the secondary market must have a unique transaction code. (2) Further provisions regarding the unique transaction code as referred to in section (1) shall refer to Bank Indonesia provisions regarding reporting. Article 84 (1) The calculation of the SBK transaction price shall use the day-count convention in the form of actual/360. (2) An example of the calculation of the SBK transaction price as referred to in section (1) shall be as stated in Annex IV which constitutes an integral part of this Regulation of Member of Board of Governors. Article 85 Settlement of SBK transactions in the secondary market must be carried out not later than 3 (three) Business Days after the transaction. Paragraph 2

36 Time Deposit Certificate Transactions in the Money Market Article 86 Time Deposit Certificate that may be traded in the Money Market must meet the following criteria: a. issued in scripless form; b. issued with a discount or coupon bearing system; c. issued in rupiah and/or foreign currency denominations; and d. registered and administered at Bank Indonesia or a central custodian appointed by Bank Indonesia. Article 87 Banks that issue Time Deposit Certificates that may be transacted in the Money Market must include a statement that the Time Deposit Certificates may be transacted in the Money Market on the front page of the information document offering to investors. Article 88 (1) Banks are required to submit information on the realization of issuance to Bank Indonesia every time they issue a Time Deposit Certificate that may be transacted in the Money Market. (2) Information on the realization of issuance as referred to in section (1) shall at least include: a. security name and international securities identification number (ISIN); b. issuance nominal; c. discount rate or coupon bearing; d. time period; e. issuance date; f. due date; g. arranger; and h. approval for the issuance of Deposit Certificates from the relevant authorities. (3) Information on the realization of issuance as referred to in section (1) must be submitted not later than 5(five) Business Days after the Time Deposit Certificate is issued and effectively recorded at the central custodian appointed by Bank Indonesia. (4) Banks that violate the provisions referred to in section (1) shall be subject to administrative sanctions in the form of: a. written reprimand; and/or b. temporary, partial, or complete suspension of activities in the Money Market. Article 89 (1) Parties conducting Time Deposit Certificate transactions in the Money Market as referred to in Article 86 shall include: a. Bank; b. securities company; c. corporation; and/or d. individual. (2) The parties referred to in section (1) point c and point d must carry out Time Deposit Certificate transactions

37 through institutions supporting Money Market Transactions. Article 90 Settlement of Time Deposit Certificate transactions in the Money Market must be carried out not later than 3 (three) Business Days after the transaction. Article 91 (1) The calculation of the transaction price of the Time Deposit Certificate in the Money Market shall use the day-count convention in the form of actual/360. (2) An example of the calculation of the transaction price of the Time Deposit Certificate as referred to in section (1) shall be as stated in Annex IV. Paragraph 3 Transactions of Money Market Instruments Issued by Bank Indonesia in the Secondary Market Article 92 The implementation of Money Market Instrument transactions issued by Bank Indonesia shall refer to Bank Indonesia's provisions regarding monetary operations. Part Three Money Lending Transactions other than Credit Article 93 (1) Money lending and borrowing transactions other than credit in the Money Market may only be carried out between banks. (2) Money lending transactions other than credit as referred to in section (1) have a maximum tenor of 1(one) year. (3) Banks are required to carry out money lending transactions other than credit using written confirmation and/or financial contracts as referred to in Article 3 point b. (4) Banks that violate the provisions referred to in section (3) shall be subject to an administrative sanction in the form of a written reprimand. Part Four Repurchase Agreement Article 94 (1) Money Market Transaction Participants must ensure that repurchase agreements are based on financial contracts as referred to in Article 3 point b. (2) The financial contracts as referred to in section (1) shall include master agreements and/or standard contracts. (3) The financial contract as referred to in section (1) must: a. contains information as referred to in Article 7 section (4) point a for repurchase agreements; and b. follow the market standard as referred to in Article 7 section (4) point b for repurchase agreements.

38 (4) The parties may agree to changes to the clauses in the financial contract made based on the master agreement to the extent not contrary to the provisions of laws and regulations. Article 95 The implementation of repurchase agreements shall be carried out by taking into account the provisions of the relevant authorities. Part Five Interest Rate Derivative Transactions Paragraph 1 General Article 96 (1) Interest Rate Derivative Transactions shall include: a. interest rate swap transactions; b. forward rate agreement transactions; c. interest rate option transactions; and d. other Interest Rate Derivative Transactions stipulated by Bank Indonesia. (2) Interest Rate Derivative Transactions as referred to in section (1) shall be plain vanilla/derivative transactions. Paragraph 2 Qualifications of Interest Rate Derivatives Transaction Participants Article 97 (1) Banks may carry out Interest Rate Derivative Transactions with Money Market Transaction participants in the form of: a. financial services institutions; b. corporation; c. individual; or d. other Banks. (2) Money Market Transaction Participants in the form of financial services institutions as referred to in section(1) point a and corporations as referred to in section (1) point b must meet the following qualifications: a. is a customer at the Bank concerned; b. submit financial reports, at least the position for the last year showing equity ownership of at least Rp5,000,000,000.00 (five billion rupiah) or the equivalent in foreign currency; and c. has carried out business activities for at least 12 (twelve) consecutive months. (3) Money Market Transaction Participants in the form of individuals as referred to in section (1) point c must meet the following qualifications: a. is a customer at the Bank concerned; and b. submit proof of ownership of an asset portfolio in the form of cash, current accounts, savings, and/or time deposits in Indonesian banks, at least the position for the last month with a minimum amount

39 of Rp5,000,000,000.00 (five billion rupiah) or the equivalent in foreign currency. (4) Banks are required to ensure that the Interest Rate Derivative Transaction participants fulfill the qualifications as referred to in section (2) and/or section (3). Paragraph 3 Interest Rate Derivative Transaction Contracts Article 98 (1) Banks are required to ensure that Interest Rate Derivative Transactions are based on financial contracts and/or written confirmation as referred to in Article 3 point b. (2) The written confirmation as referred to in section (1) must contain the information as referred to in Article 7 section (4) point a regarding Interest Rate Derivative Transactions which shall at least include: a. contract number; b. transaction date, settlement period, and transaction due date; c. nominal value of the transaction; d. counterparty name; e. currency; and f. reference rate. (3) An example of a financial contract as referred to in section (1) in the form of an Indonesian Derivatives Master Agreement shall be as stated in Annex V which constitutes an integral part of this Regulation of Member of Board of Governors. (4) An example of written confirmation as referred to in section (2) shall be as stated in Annex VI which constitutes an integral part of this Regulation of Member of Board of Governors. Article 99 (1) Banks must follow market conventions in conducting Interest Rate Derivative Transactions. (2) The market convention as referred to in section (1) shall at least include: a. the decimal number of the interest rate; b. number of days in a year; and c. interest payment mechanism when due. Article 100 (1) The Bank shall carry out Interest Rate Derivative Transactions with a nominal value of at least Rp1,000,000,000.00 (one billion rupiah). (2) Interest Rate Derivative Transactions conducted by the Bank may be conducted for all time periods. Article 101 (1) Banks that carry out Interest Rate Derivative Transactions are required to implement Interest Rate Derivative Transaction risk management. (2) Risk management of Interest Rate Derivative Transactions as referred to in section (1) shall at least consist of:

40 a. active supervision by administrators; b. policies and procedures and the adequacy of organizational structures; c. risk management processes and risk management functions which at least include:

1. the risk management process framework which shall at least include: a) mechanisms for implementing risk identification, measurement, monitoring, and control; and b) information system for Interest Rate Derivative Transactions;
2. information technology-related risk management; and
3. risk management related to disaster recovery; d. human resources; and e. internal control. (3) The policies and procedures as referred to in section (2) point b shall include: a. Customer risk profile assessment policies include:
4. customer transaction purposes; and
5. customer financial profile; b. Interest Rate Derivative Transaction risk conformity policy with customer risk profile; c. transparency and information disclosure policies that at least include:
6. disclosure of complete, correct, and non￾misleading information to customers;
7. provision of information regarding the potential benefits that may be obtained and the risk of loss that may arise for customers from Interest Rate Derivative Transactions; and
8. delivery of information that does not disguise, reduce, or cover up risks that may arise from Interest Rate Derivative Transactions; d. consumer protection policy referring to Bank Indonesia Regulation regarding Bank Indonesia consumer protection; e. procedures for implementing Interest Rate Derivative Transactions; f. dispute resolution procedures; and g. market code of conduct. Article 102 Banks that violate the provisions as referred to in Article 97 section (4), Article 98 section (1), and/or Article101 section (1) shall be subject to administrative sanctions in the form of: a. written reprimand; and/or b. temporary, partial, or complete suspension of activities in the Money Market. Part Six Transaction Time and Transaction Settlement Paragraph 1 Transaction Time

41 Article 103 Money Market Transaction Times shall take into account: a. operational time of the system that organizes transaction administration facilities and securities administration and/or electronic funds transfer facilities as regulated in Bank Indonesia provisions regarding transaction administration, securities administration, and real-time fund settlement; b. operational time of the system that provides facilities for storing and settling financial transactions and/or financial instruments including Money Market Instruments; and/or c. global consensus of Money Market Transactions conducted in foreign currencies. Paragraph 2 Transaction Settlement Article 104 (1) Bank Indonesia shall determine the use of currency in settling Money Market Transactions. (2) Money Market transactions conducted in Rupiah currency are required to settled in Rupiah currency. Article 105 (1) Settlement of Money Market Transactions may be conducted in the following ways: a. transfer of principal funds in full (gross); or b. transfer of funds by taking into account the difference in obligations on transactions (netting). (2) Upon Money Market Transactions the following may be conducted: a. roll over; b. early termination; or c. unwind. Article 106 Money Market Transactions that: a. has met the requirements; and/or b. occurring before the bankruptcy declaration decision is pronounced, are required to still be settled as if no bankruptcy had occurred and may not be canceled by the parties directly related to the transaction as regulated in the Law on the development and strengthening of the financial sector. Article 107 Parties who violate the provisions as referred to in Article 104 section (2) and Article 106 shall be subject to administrative sanctions in the form of: a. written reprimand; and/or b. temporary, partial, or complete suspension of activities in the Money Market. Part Seven Close Out Netting

42 Article 108 (1) In the event of default in a repurchase agreement, Interest Rate Derivative Transaction, and other Money Market Transactions caused by: a. event of default; and/or b. event of termination, from one of the transacting parties, transaction settlement may be carried out through a close-out netting mechanism. (2) Settlement of transactions through the close-out netting mechanism as referred to in section (1) may be carried out as long as it is required or agreed to in the master agreement. (3) If in 1 (one) master agreement as referred to in section (2) there is: a. transactions that fall within the scope of transactions that may be completed through the close-out netting mechanism; and b. transactions that are not included in the scope of transactions that may be settled through the close￾out netting mechanism, transaction settlement through the close-out netting mechanism shall be carried out for transactions as referred to in point a. Article 109 (1) Settlement of transactions through the close-out netting mechanism as referred to in Article 108 may be carried out either before or after bankruptcy occurs as regulated in the Law on the development and strengthening of the financial sector. (2) In the event that before the bankruptcy declaration decision is pronounced, the transaction settlement process has been carried out through the close-out netting mechanism, the transaction is required to be completed. (3) Money Market Transaction Participants who violate the provisions as referred to in section (2) shall be subject to a sanction in the form of a written reprimand. Article 110 (1) The implementation of transaction settlement through the close-out netting mechanism by bankrupt debtors may not be canceled by the court as regulated in the Law on the development and strengthening of the financial sector. (2) The implementation of the close-out netting mechanism as referred to in section (1) does not require a debt set-off application as regulated in the Law on the development and strengthening of the financialsector. (3) The implementation of close-out netting as referred to in section (1) and section (2) may not be postponed, avoided, or limited by the actions and/or authority of the curator as regulated in the Law on the development and strengthening of the financial sector. (4) The implementation of close-out netting as referred to in section (3) shall also apply to collateral arrangements that

43 are based on the master agreement as referred to in Article 108 section (2). Part Seven Standardization of Money Market Transactions Article 111 (1) Bank Indonesia may determine the standardization of Money Market Transactions which are: a. transacted through transaction facilities; b. cleared through a central counterparty; and c. reported through the trade repository. (2) Bank Indonesia shall publish Money Market Transactions as referred to in section (1) on the Bank Indonesia website and/or other media determined by Bank Indonesia. Article 112 (1) Bank Indonesia shall determine the standardization of Money Market Transactions cleared through a central counterparty as referred to in Article 111 section (1) point b. (2) The standardization of money market transactions as referred to in section (1) shall take into account: a. outstanding transactions; b. liquidity; c. needs of the perpetrator; d. price availability; e. infrastructure readiness; and/or f. Bank Indonesia's policy direction regarding the Money Market. (3) The standardization of money market transactions as referred to in section (1) shall at least include: a. transaction date; b. settlement type c. settlement currency; d. completion date; e. nominal rounding; f. tenor; and/or g. other standardization specifications set by Bank Indonesia. (4) Bank Indonesia shall publish the standardization of Money Market Transactions transacted through central counterparties as referred to in section (1) on the Bank Indonesia website and/or other media determined by Bank Indonesia. CHAPTER VII DATA AND INFORMATION Part One General Article 113 (1) Money Market Participants that are: a. Money Market Instrument issuer;

44 b. Money Market Transaction Participants including banks and securities companies; c. supporting institutions for Money Market Transactions; and d. supporting institutions for the settlement and administration of Money Market Transactions, are required to provide data, information, reports, statements, and/or explanations related to their business activities to Bank Indonesia. (2) Data, information, reports, statements, and/or explanations as referred to in section (1) shall be submitted to Bank Indonesia through: a. survey; b. reporting; or c. other methods determined by Bank Indonesia. (3) Fulfillment of the obligations as referred to in section (1) must take into account the provisions of laws and regulations. (4) The implementation of the survey as referred to in section (2) point a shall be carried out in accordance with Bank Indonesia's provisions regarding the implementation of surveys by Bank Indonesia. Article 114 Money Market Participants who violate the provisions as referred to in Article 113 section (1) shall be subject to administrative sanctions in the form of: a. written reprimand; and/or b. temporary, partial, or complete suspension of activities in the Money Market. Part Two Reporting Article 115 The reporting as referred to in Article 113 section (2) point b submitted by the SBK issuer shall be in the form of: a. periodic reports; and/or b. incidental report, to Bank Indonesia. Article 116 (1) Periodic reports as referred to in Article 115 point a shall be in the form of: a. quarterly report on SBK developments; and b. audited annual financial reports. (2) The quarterly report on SBK developments as referred to in section (1) point a shall contain: a. information on the realization of the use of funds from the issuance of SBK; and b. outstanding value of SBK issuance. (3) The quarterly report on the development of SBK as referred to in section (1) point a shall be submitted not later than : a. April 5 for the period January to March of the current year;

45 b. July 5 for the period April to June of the current year; c. October 5 for the period July to September of the current year; and d. January 5 for the period October to December of the previous year. (4) The audited annual financial report as referred to in section (1) point b shall be submitted not later than May 2 for the previous year period. (5) In the event that the submission date for the quarterly report on SBK developments as referred to in section (3) and the submission date for the audited annual financial report as referred to in section(4) are not Business Days, the report shall be submitted on the following Business Day. (6) Submission of periodic reports as intended in section (1) shall be carried out as long as there are outstanding SBK. (7) The periodic report format as referred to in section (1) shall be as stated in Annex III. Article 117 (1) The incidental report as referred to in Article 115 point b shall contain a report on changes in information and significant material facts as referred to in Article 77 section (2), outside the financial report as referred to in Article 77 section (2) point a. (2) Incidental reports as referred to in section (1) shall be submitted not later than 5 (five) Business Days after the occurrence of an incident or event that is categorized as material information and facts. (3) Submission of reports on changes in information and material facts as referred to in section (1) must be accompanied by supporting documents in the form of: a. information and/or documents that prove the occurrence of an incident or event that is categorized as material information and facts as referred to in section (1); and/or b. evidence of disclosure of information and material facts as referred to in Article 76 section (2) to investors and/or prospective SBK investors. Article 118 Money Market Participants that are: a. Money Market Transaction Participants including banks and securities companies; b. supporting institutions for Money Market Transactions; and c. supporting institutions for the settlement and administration of Money Market Transactions, shall submit the report as referred to in Article 113 section (2) point b in the form of a Money Market Transaction report. Article 119 (1) Money Market Participants shall submit reports as referred to in Article 113 section (2) point b to Bank Indonesia online through the Bank Indonesia reporting system.

46 (2) Submission of reports online through the Bank Indonesia reporting system as referred to in section (1) shall be submitted by Money Market Participants with reference to the guidelines for the submission of reports online through the Bank Indonesia reporting system. (3) Guidelines for the submission of reports online through the Bank Indonesia reporting system as referred to in section (2) shall be delivered by Bank Indonesia to Money Market Participants through letter and/or other media determined by Bank Indonesia. (4) In the event that the Bank Indonesia reporting system as referred to in section (2) is not yet available, the report as referred to in section (1) shall be submitted offline. CHAPTER VIII SUPERVISION Article 120 (1) Bank Indonesia shall supervise Money Market Participants. (2) Supervision as referred to in section (1) shall include: a. indirect supervision; and/or b. inspection. Article 121 (1) In implementing supervision as referred to in Article 120 section (1), Money Market Participants are required to provide and submit data, information, statements, and/or explanations required by Bank Indonesia. (2) Money Market Participants are required to ensure the truth, completeness, and accuracy of data, information, and/or statements submitted to Bank Indonesia. (3) Money Market Participants who violate the provisions as referred to in section (1) and/or section (2) shall be subject to an administrative sanction in the form of a written reprimand. Article 122 (1) Bank Indonesia may assign another party to carry out the inspection as referred to in Article 120 section (1) point b. (2) Other parties assigned to carry out the inspection as referred to in section (1) are required to maintain the confidentiality of data, information, and/or statements obtained from the results of the examination. (3) Other parties who violate the provisions as referred to in section (2) shall be subject to an administrative sanction in the form of a written reprimand. Article 123 (1) Bank Indonesia may supervise third parties who cooperate with Money Market Participants. (2) Money Market Participants who collaborate with third parties as referred to in section (1) are required to ensure that Bank Indonesia may: a. have access to data and information required for supervision; and

47 b. supervise third parties who cooperate with Money Market Participants. (3) Money Market Participants who violate the provisions referred to in section (2) shall be subject to an administrative sanction in the form of a written reprimand. CHAPTER IX PROCEDURES FOR THE IMPOSITION OF SANCTIONS Article 124 Bank Indonesia shall impose administrative sanctions related to Money Market Transactions on: a. Money Market Participants; and b. other parties, that violates the provisions as stipulated in the Bank Indonesia Regulation on the Money Market and Foreign Exchange Market. Article 125 (1) In the event that Bank Indonesia imposes an administrative sanction in the form of a written reprimand, Bank Indonesia shall deliver the written reprimand by letter to the party subject to the sanction. (2) The written reprimand as referred to in section (1) may be forwarded to the relevant authorities. Article 126 (1) Bank Indonesia may impose administrative sanctions in the form of: a. temporary, partial, or complete suspension of activities in the Money Market to Money Market Participants; b. revocation of the registered status of Money Market Supporting Institutions and PUVA Supporting Professions; or c. termination of the determination of the supporting party for the provision of Pricing, after the imposition of an administrative sanction in the form of a written reprimand with certain considerations. (2) Certain considerations as referred to in section (1) shall include: a. the frequency of violations of the same provisions by Money Market Participants in a certain period; b. the number of provisions violated by Money Market Participants in a certain period; or c. the intensity of violations committed by Money Market Participants. (3) Based on certain considerations, Bank Indonesia may impose administrative sanctions on Money Market Participants in the form of: a. temporary, partial, or complete suspension of activities in the Money Market; or b. termination of determination and/or revocation of registered status, without prior imposition of an administrative sanction in the form of a written reprimand as referred to in Article 125 section (1).

48 (4) Certain considerations as referred to in section (3) shall include: a. potential impacts and/or repercussions arising from violations committed against the Money Market; and b. other considerations determined by Bank Indonesia. CHAPTER X CORRESPONDENCE Article 127 (1) Correspondence regarding the regulation and development of Money Market Transactions, as well as submission of request letters for consultation on the use of smart contracts, shall be addressed to: Bank Indonesia Bicara Contact Center Bank Indonesia Communication Department email: bicara@bi.go.id. (2) Correspondence regarding requests for approval of SBK issuers should be addressed to: Department of Banking Services, Licensing, and Treasury Operations Bank Indonesia email: cs_perizinan@bi.go.id. (3) Correspondence related to the submission of requests for the determination of parties who will support the provision of Pricing, submission of information on plans to issue SBK, plans to postpone SBK offerings, information on the realization of SBK issuance, requests for consultation on plans to develop and/or issue Money Market Instruments other than SBK, and information on the realization of the issuance of Deposit Certificates that may be transacted in the Money Market shall be addressed to: Financial Market Development Department of Bank Indonesia email: DPPK-APPU@bi.go.id. (4) Correspondence regarding online reporting shall follow Bank Indonesia's provisions regarding reporting. (5) Correspondence regarding reports for supervision of SBK issuers should be addressed to: Department of Macroprudential, Monetary and Market Surveillance Bank Indonesia email: DSMM-KSMR@bi.go.id. (6) In the event of a change in the correspondence address as referred to in section (1), section (2), section (3), section (4), and/or section (5), Bank Indonesia shall inform the change in the correspondence address by letter and/or other media determined by Bank Indonesia. CHAPTER XI CLOSING PROVISIONS Article 128 (1) At the time when this Regulation of Member of Board of Governors comes into force:

49 a. Article 2, Article 3, Article 9, Article 10, Article 11, Article 12, Article 13, Article 14, Article 15, Article16, and Article 17 of Regulation of Member of Board of Governors Number 19/7/PADG/2017 dated 19 June 2017 on Time Deposit Certificate Transactions in the Money Market; b. Regulation of Member of Board of Governors Number 20/1/PADG/2018 dated 2 January 2018 on the Issuance and Transactions of Commercial Securities in the Money Market; c. Regulation of Member of Board of Governors Number 21/13/PADG/2019 dated 31 May 2019 on Rupiah Interest Rate Derivative Transactions in the Form of Interest Rate Swap Transactions; and d. Article 2, Article 3, Article 3A, Article 3B, Article 3C, and Article 3D of Regulation of Member of Board of Governors Number 20/19/PADG/2018 dated 27 August 2018 on the Indonesia Overnight Index Average and the Jakarta Interbank Offered Rate as amended by Regulation of Member of Board of Governors Number 24/18/PADG/2022 dated 14 December 2022 on the Amendment to Regulation of Member of Board of Governors Number 20/19/PADG/2018 on the Indonesia Overnight Index Average and the Jakarta Interbank Offered Rate, are repealed and declared invalid. (2) Regulation of Member of Board of Governors Number 20/19/PADG/2018 dated 27 August 2018 on the Indonesia Overnight Index Average and the Jakarta Interbank Offered Rate as amended by Regulation of Member of Board of Governors Number 24/18/PADG/2022 dated 14 December 2022 on the Amendment to Regulation of Member of Board of Governors Number 20/19/PADG/2018 on the Indonesia Overnight Index Average and the Jakarta Interbank Offered Rate, is repealed and declared ineffective on 1 January 2026. Article 129 This Regulation of Member of Board of Governors comes into force on the date of its enactment. In order that any person may know hereof, it is ordered to promulgate this Regulation of Member of Board of Governors by its placement in the Bulletin Gazette of the Republic of Indonesia.

50 Issued in Jakarta on 30 September 2024 THE MEMBER OF THE BOARD OF GOVERNORS, Signature DESTRY DAMAYANTI

51 ELUCIDATION OF REGULATION OF MEMBER OF BOARD OF GOVERNORS NUMBER 13 OF 2024 ON MONEY MARKET TRANSACTIONS I. GENERAL In order to realize Bank Indonesia's objective of maintaining the stability of the rupiah's value, Bank Indonesia regulates, develops, and supervises the Money Market Transaction mechanism and the mechanism for establishing Pricing in the Money Market. Strengthening authority in regulating, developing, and supervising the Money Market is in line with Bank Indonesia's efforts to create a modern and advanced Money Market. A modern and advanced Money Market will contribute to the development and deepening of financial markets, which will further support the effectiveness of monetary policy, the stability of the financial system, and the synergy of national economic financing. A modern and advanced Money Market may be realized through the regulation, development, and supervision of the Money Market in an end-to￾end manner, including the regulation, development, and supervision of products, Pricing, Money Market Participants, and Money Market Transactions, so that the Money Market becomes a well-functioning money market. Based on this, it is necessary for Bank Indonesia to issue the Regulation of Member of Board of Governors regarding Money Market Transactions. II. ARTICLE BY ARTICLE Article 1 Sufficiently clear. Article 2 Sufficiently clear. Article 3 Sufficiently clear. Article 4 Sufficiently clear. Article 5 Sufficiently clear. Article 6 Point a Issuance of Money Market Instruments including Money Market Transactions in the primary market. Point b Sufficiently clear.

52 Article 7 Section (1) Point a Sufficiently clear. Point b Sufficiently clear. Point c The term “debt securities" means debt securities with a maturity of no more than 1 (one) year. Based on the Law on the development and strengthening of the financial sector, this securities are exempt from regulation and supervision by the Financial Services Authority. Point d Sufficiently clear. Section (2) Sufficiently clear. Section (3) Point a Master agreements and/or standard contracts shall include the Indonesian Derivatives Master Agreement, the International Swaps and Derivatives Association Master Agreement, the Global Master Repurchase Agreement, and master agreements and/or standard contracts formed from several master agreements and/or standard contracts (master agreements) such as the Cross-Product Master Agreement. The term “association" means an association at the national and/or international level. Relevant authorities include financial sector authorities including Bank Indonesia. Point b Written confirmations include trade confirmations on financial market infrastructure systems. Point c Sufficiently clear. Section (4) Point a Sufficiently clear. Point b Market standards and/or market conventions, including the number of days in a year. Article 8 Sufficiently clear. Article 9 Sufficiently clear. Article 10 Sufficiently clear. Article 11 Sufficiently clear.

53 Article 12 Section (1) Point a IndONIA shall inlcude Compounded IndONIA and IndONIA Index. Point b Sufficiently clear. Section (2) Sufficiently clear. Section (3) Bank Indonesia's provisions that use Pricing as a reference shall include Bank Indonesia's provisions regarding minimum reserve requirements in rupiah and foreign currency for conventional commercial banks, sharia commercial banks, and sharia business units, which contain provisions for calculating administrative sanctions for payment obligations. Section (4) Sufficiently clear. Article 13 Section (1) The reporting system established by Bank Indonesia shall include integrated general bank reports. Section (2) Bank Indonesia's provisions regarding reporting shall include Bank Indonesia's provisions regarding integrated general bank reports. Section (3) Sufficiently clear. Section (4) Sufficiently clear. Article 14 Section (1) The implementation of IndONIA publication at other times is caused by certain conditions such as: a. technical disruptions and other disruptions to the communication system and/or network at Bank Indonesia; and/or b. system development. Section (2) Sufficiently clear. Article 15 Section (1) Sufficiently clear. Section (2) Interest rate calculations for various tenors may be done in several ways, including in-arrears, in-advance, or a combination (hybrid). In calculating interest rates for various tenors which are carried out in-arrears, Money Market Participants may add certain conditions in financial transactions, including look-back, look￾out, or payment delay. Article 16

54 Section (1) Compounded IndONIA for certain tenors aims to make it easier for Money Market Participants to use IndONIA as an interest rate for longer tenors (non-overnight). The calculation of Compounded IndONIA for certain tenors by Bank Indonesia does not take into account the addition of certain conditions in financial transactions carried out by Money Market Participants. Section (2) Sufficiently clear. Section (3) Sufficiently clear. Section (4) Sufficiently clear. Article 17 Section (1) The publication of the IndONIA Index aims to make it easier for Money Market Participants to calculate Compounded IndONIA for various tenors. Through the IndONIA Index, Money Market Participants may calculate Compounded IndONIA for various tenors outside the published Compounded IndONIA tenors, for example tenors of 11 (eleven) calendar days and 255 (two hundred and fifty-five) calendar days. Section (2) Sufficiently clear. Section (3) Sufficiently clear. Section (4) Sufficiently clear. Article 18 Sufficiently clear. Article 19 Section (1) Sufficiently clear. Section (2) Point a Sufficiently clear. Point b Number 1 Sufficiently clear. Number 2 Point a) Sufficiently clear. Point b) Confidentiality of data and information including individual transaction data which is input data to support the provision of Pricing. Point c) Sufficiently clear. Point c Sufficiently clear. Point d

55 Sufficiently clear. Article 20 Sufficiently clear. Article 21 Sufficiently clear. Article 22 Section (1) The term “material change" means a material change in the supporting activities for providing Pricing, including changes in the method of calculating Pricing. Section (2) Sufficiently clear. Section (3) Sufficiently clear. Section (4) Sufficiently clear. Section (5) Sufficiently clear. Section (6) Sufficiently clear. Article 23 Point a Evaluation of the determination of other parties to support the provision of Pricing including evaluation of the relevance of the determination, among others by: a. efforts to achieve the targets of regulating, developing, and supervising the Money Market; and b. international principles regarding the establishment of Pricing. Point b Sufficiently clear. Point c Sufficiently clear. Point d Sufficiently clear. Point e Sufficiently clear. Point f Sufficiently clear. Article 24 Sufficiently clear. Article 25 Section (1) Point a General criteria shall be established and apply to all types of Money Market Instruments. Point b

56 Special criteria are established and apply to each type of Money Market Instrument. Section (2) Point a Number 1 Scripless Money Market Instruments, including the process of issuance, administration, recording, and/or transfer of ownership, may be valid legal evidence as regulated in the Law on the development and strengthening of the financial sector. Number 2 Sufficiently clear. Number 3 Sufficiently clear. Number 4 Sufficiently clear. Point b Sufficiently clear. Point c Sufficiently clear. Point d Sufficiently clear. Section (3) Point a Registration includes the process of granting permission to issue Money Market Instruments. Point b Sufficiently clear. Point c Sufficiently clear. Point d Sufficiently clear. Article 26 Section (1) Point a General requirements shall apply equally to all types of Money Market Instruments. Point b Specific requirements shall be set differently for each type of Money Market Instrument. Section (2) Sufficiently clear. Section (3) Sufficiently clear. Article 27 Sufficiently clear. Article 28 Point a The term “financial services institutions" means institutions that carry out activities in the banking, capital markets, insurance, pension fund, financing institutions, and other financial services

57 institutions sectors based on the provisions of laws and regulations in the financial services sector. The term "other financial services institutions" means pawnshops, guarantee institutions, Indonesian export financing institutions, secondary housing financing companies, providers of information technology-based joint funding services, and institutions that organize mandatory public fund management, including providers of social security, pension, and welfare programs, as referred to in the provisions of laws and regulations regarding pawnshops, guarantees, Indonesian export financing institutions, secondary housing financing companies, and mandatory public fund management, as well as other financial services institutions that are declared to be supervised by the Financial Services Authority based on the provisions of laws and regulations. Point b Sufficiently clear. Point c Sufficiently clear. Article 29 Section (1) Sufficiently clear. Section (2) Point a Number 1 The term “issuer" means a party that makes a public offering, namely an offering of securities made by an issuer to sell securities to the public based on procedures stipulated in laws and regulations. The term “public offering" means the activity of offering securities to the public based on the procedures regulated in the Law on Capital Markets and its implementing regulations. Number 2 Point a) Guarantees or surety may be carried out by the Bank or corporation that is the parent of the prospective SBK issuer. The operating time is calculated from the date of establishment stated in the deed. Point b) Sufficiently clear. Point c) Sufficiently clear. Point b Example: PT ABC has been operating since 2022. In May 2024, PT ABC plans to submit an application for approval as an SBK issuer. PT ABC must have audited annual financial reports for 2022 and 2023. The 2023 financial report must be audited by a public accountant who is a PUVA Supporting Profession. Point c Not in a state of default, including a state of default that has been resolved.

58 Resolving defaults may be done through debt settlement that has been paid in full, resolved through debt restructuring, or as agreed by the parties. Example 1: PT D will submit an application for approval as an SBK issuer with the following details: a. the date of the default event is 22 August 2021; b. default resolution date is 10 September 2021; and c. the submission date for SBK registration application is 26 October 2024. Thus, PT D is categorized as not having experienced a default condition during the last 3 (three) years, thus fulfilling the requirements as an SBK issuer. Example 2: PT D will submit an application for approval as an SBK issuer with the following details: a. the date of the default event is 22 August 2021; b. the default settlement date is 10 January 2022; and c. the submission date for SBK registration application is 26 October 2024. Thus, PT D is categorized as having experienced a default condition in the last 3 (three) years, so it does not meet the requirements as an SBK issuer. Point d Sufficiently clear. Point e Sufficiently clear. Point f Sufficiently clear. Article 30 Section (1) Point a Sufficiently clear. Point b Number 1 Sufficiently clear. Number 2 Sufficiently clear. Number 3 Sufficiently clear. Number 4 The tenor is calculated from the date of issuance of the SBK to the maturity date of the SBK. The term “issuance date" means the date on which the SBK is distributed electronically by the central custodian appointed by Bank Indonesia. Number 5 In the event that there are 2 (two) short-term ratings with different rating values, fulfillment of the instrument rating requirements uses the highest rating. Section (2) Sufficiently clear. Section (3) Sufficiently clear.

59 Article 31 Section (1) Point a See explanation of Article 28 point a. Point b The term “individual" means an individual who has the ability to analyze investment risks on securities. Point c The term “corporation" means a corporation that has the ability to analyze investment risks on securities. Section (2) Sufficiently clear. Section (3) Sufficiently clear. Section (4) Sufficiently clear. Article 32 Sufficiently clear. Article 33 Sufficiently clear. Article 34 Section (1) Point a Information on prospective SBK issuers at least includes the name, head office address, correspondence contact, website of the prospective SBK issuer, and a list of the names of the directors and board of commissioners of the prospective SBK issuer. Point b Sufficiently clear. Point c Financial reports are prepared based on applicable financial accounting standards (standar akuntansi keuangan/SAK), namely financial accounting standards (SAK) in Indonesia. Point d Sufficiently clear. Point e Number 1 Information regarding the curriculum vitae shall include at least the name, position, and function within the organization of the prospective SBK issuer, nationality, educational background, and previous work experience in the last 10 (ten) years. Number 2 The statement letter made by each member of the board of commissioners and directors is a fulfillment of the requirement that the management of the prospective SBK issuer has a good track record. Point f Sufficiently clear. Point g

60 Bank Indonesia's provisions regarding the money market and foreign exchange market include the Bank Indonesia Regulation on the Money Market and Foreign Exchange Market. The term “implementation of risk management" means includes, among other things, identification, measurement, monitoring, and control of risks. Risk management shall be carried out at least against credit risks that have the potential to cause non-payment of SBK and business risks that have the potential to disrupt the business continuity of the SBK issuer, thereby affecting the ability of the SBK issuer to make SBK payments. Point h Sufficiently clear. Section (2) Point a Supporting documents include screenshots containing the names of prospective SBK issuers on the Indonesia Stock Exchange page as part of the list of issuer names on the Indonesia Stock Exchange. Point b In the event that a prospective SBK issuer has been registered as a bond and/or sukuk issuer at the Financial Services Authority more than 1 (one) time, the documents that must be submitted are a copy of the most recent effective statement document, accompanied by a copy of the bond and/or sukuk registration certificate at the time it was listed on the Indonesia Stock Exchange attached to the bond and/or sukuk issuance carried out during the registered period for the effective statement submitted. Section (3) Sufficiently clear. Article 35 Section (1) Sufficiently clear. Section (2) Point a Sufficiently clear. Point b Number 1 A significant income contribution from a subsidiary to a prospective SBK issuer may be in the form of regular income cash flows or significant dividend payments. Number 2 Business activities that are important for the continuity of the business of the prospective SBK issuer may be in the form of business activities of a subsidiary as the sole supplier for the prospective SBK issuer or business activities of a subsidiary as the sole provider of processing services in the production process of the prospective SBK issuer. Section (3) Sufficiently clear. Section (4) Sufficiently clear.

61 Section (5) Sufficiently clear. Section (6) Sufficiently clear Article 36 Section (1) Point a Sufficiently clear. Point b In the event that the submission date of the application for registration of SBK issuance by a prospective SBK issuer to Bank Indonesia is more than 3 (three) months from the date of the SBK rating determination, the prospective SBK issuer must include a confirmation letter from the rating agency that the same rating is still valid for the SBK for which registration is being submitted. Point c Sufficiently clear. Point d Sufficiently clear. Section (2) Sufficiently clear. Article 37 Sufficiently clear. Article 38 Sufficiently clear. Article 39 Section (1) Sufficiently clear. Section (2) Point a Number 1 When the information memorandum is submitted to Bank Indonesia, information on the offering period, nominal determination date, payment date, and SBK distribution date may be temporary but must be final when the information memorandum becomes an offering document to prospective SBK investors. Number 2 In the event that SBK issued consists of several SBK series, the information provided is information for the entire SBK series, complete with details for each SBK series issued. Naming of SBK shall be conducted with the writing structure of “SBK” (space) “name of SBK issuer” (space) “Stage” (space) “Roman numeral stage” (space) “year of SBK publication” (space) “SBK series”, if there is more than 1 (one) series in 1 (one) publication stage. The naming of stages in the issuance of SBK continues during the approval period as an SBK issuer. Example:

62 PT XYZ obtained approval as a SBK issuer from Bank Indonesia on 1 October 2024 and is valid until September 30, 2027. PT XYZ issued SBK 3 (three) times with the naming details as follows: a. SBK PT XYZ Phase I 2024 Series A (issued on 21 October 2024); b. SBK PT XYZ Phase I 2024 Series B (issued on 21 October 2024); c. SBK PT XYZ Phase II 2026 (issued on 10 July 2026); and d. SBK PT XYZ Phase III 2027 Series A (issued on 15 September 2027). Point b Sufficiently clear. Point c Sufficiently clear. Point d Whether or not there is an affiliate relationship between the arranger and the SBK issuer refers to the affiliate relationship criteria regulated in Bank Indonesia's provisions regarding money market supporting institutions. Point e Sufficiently clear. Point f Sufficiently clear. Point g Sufficiently clear. Point h Sufficiently clear. Point i Sufficiently clear Point j Sufficiently clear. Point k Risk factors for SBK investment include the risk of SBK being illiquid in the Money Market. Article 40 In the event that SBK issued consists of several SBK series, the information provided is information for the entire SBK series, complete with details for each SBK series issued. Point a Sufficiently clear. Point b Sufficiently clear. Point c Sufficiently clear. Point d Sufficiently clear. Point e Sufficiently clear. Point f Sufficiently clear. Point g Sufficiently clear. Point h

63 Sufficiently clear. Point i The maximum nominal outstanding issuance is the upper limit of the nominal issuance of SBK that has not matured during the approval period as an SBK issuer. The maximum nominal value of the outstanding issuance is submitted by the prospective SBK issuer and approved by Bank Indonesia in the approval as the SBK issuer. Point j Sufficiently clear. Point k Sufficiently clear. Point l Sufficiently clear. Point m Sufficiently clear. Point n Sufficiently clear. Point o Information on guarantees or surety shall include: a. whether or not there is a guarantee or surety; and b. the party who is the guarantor or suretor if there is a guarantee or surety. Point p Sufficiently clear. Point q Sufficiently clear. Point r Sufficiently clear. Point s Sufficiently clear. Point t Other information includes the use of monitoring agents. Article 41 The purpose of short-term use shall include working capital, short￾term asset financing, or as temporary bridge financing before undertaking long-term financing. Article 42 Point a Sufficiently clear. Point b Information regarding the settlement mechanism including the amount of the fine. Example: If the SBK issuer distributes the SBK on February 26, 2024, later than the SBK distribution date which should have been carried out, namely February 24, 2024, the SBK issuer must pay a fine for the delay in accordance with the settlement mechanism as stated in the SBK information memorandum. Point c Information regarding the settlement mechanism including the amount of the fine. Failure of SBK distribution may be caused by, among other things:

64

1. the intention of the SBK issuer to cancel the SBK issuance offer; or
2. there is no intention from the SBK issuer to cancel the SBK issuance offer but distribution cannot be carried out. Point d Sufficiently clear. Point e Sufficiently clear. Point f Sufficiently clear. Point g Example of notification to potential investors: By purchasing SBK in the primary market and/or secondary market, investors and/or SBK transaction participants agree to provide data and/or information on ownership of SBK and/or transactions and settlement of SBK transactions carried out by investors and/or SBK transaction participants to Bank Indonesia. Article 43 Point a Sufficiently clear. Point b Sufficiently clear. Point c Sufficiently clear. Point d Sufficiently clear. Point e The term “rating rationale" means the content of the SBK rating letter to be issued, which explains the results of the rating agency's analysis of the rating carried out on the SBK to be issued. Point f Sufficiently clear. Article 44 Section (1) Point a Number 1 Sufficiently clear. Number 2 Other legal documents include licenses or approvals issued by relevant authorities. Point b Sufficiently clear. Point c Sufficiently clear. Point d The term “controller" means a party that owns shares in the prospective SBK issuer amounting to: a. more than 25% (twenty-five percent) of all shares; or b. less than or equal to 25% (twenty-five percent) of all shares, but has the ability to control the prospective SBK issuer either directly or indirectly. Point e

65 This information is included if the prospective SBK issuer has a subsidiary entity with which it has a significant relationship. Number 1 Sufficiently clear. Number 2 Sufficiently clear. Number 3 Sufficiently clear. Number 4 Description of the relationship between the subsidiary and the prospective SBK issuer, including a brief description of the relationship. Point f Number 1 Sufficiently clear. Number 2 The legality of the guarantor or suretor includes the legal aspects of the guarantor or suretor, the validity of the guarantee or surety, the relationship between the guarantor or suretor and the SBK Issuer if relevant, and other legal aspects relevant to the guarantee or surety activities. Number 3 The capability of the guarantor or suretor may be seen from the credit rating or other equivalent indicators. If necessary, a brief description of capabilities may be supplemented with financial data from the guarantor or suretor. Section (2) See the explanation of Article 35 section (2) point b. Article 45 Point a Sufficiently clear. Point b Sufficiently clear. Point c The term “short term" means the period of the next 2 (two) years. Analysis of business strategies and short-term business prospects is a forecast that needs to be supported by objective analysis. Article 46 Point a Sufficiently clear. Point b Number 1 Macroeconomic factors include interest rates, exchange rates, global commodity prices, and government policies. Number 2 Microeconomic factors include the supply of raw materials and business competition. Point c Sufficiently clear. Point d

66 Sufficiently clear. Point e Investment risks in SBK include the risk of SBK being illiquid in the Money Market and a decline in SBK prices. Article 47 Section (1) Point a Sufficiently clear. Point b Default event information includes default resolution, if the default case has been resolved. In the event that the prospective SBK issuer has never experienced a payment default, it needs to be explained that the prospective SBK issuer has never experienced a payment default. Point c Sufficiently clear. Point d Sufficiently clear. Section (2) Point a Sufficiently clear. Point b Sufficiently clear. Point c The presentation of financial ratios follows the required presentation period of important financial data summaries. Financial ratios include profitability, asset turnover, liquidity, leverage, and solvency. Section (3) Point a Sufficiently clear. Point b Investments that are directly related to the business activities of prospective SBK issuers in producing goods and services include investment in production machinery and investment in factory construction. Investments that are not directly related to the business activities of the prospective SBK issuer in producing goods and services include investments in research and development, and investments in vehicles for distribution systems. Point c Agreements that have a significant impact on the income and/or expenses of prospective SBK issuers include product sales price agreement contracts with purchasing companies for the next 10 (ten) years, and raw material purchase price agreements with supplier companies for the next 5 (five) years. Point d Sufficiently clear. Section (4) Sufficiently clear. Section (5) Point a

67 The term “last annual financial report" means the annual financial report that has been audited by a public accountant and the unaudited annual financial report if required. Point b Sufficiently clear. Point c Sufficiently clear. Section (6) The term “material information and facts" means information and facts regarding the condition of prospective SBK issuers, which are material in nature, including events, incidents, or facts that may affect the price of SBK, affect the ability of prospective SBK issuers to pay obligations, and/or affect decision-making by investors or prospective SBK investors and other parties who have an interest in the information. Material information and facts may be information from events, incidents, or facts that are transactional or non-transactional in nature. An event, incident, or transactional fact is considered material if it has a value of at least 20% (twenty percent) of the equity value. Article 48 Sufficiently clear. Article 49 Sufficiently clear. Article 50 Section (1) Point a If you use more than 1 (one) arranger, please state all the arrangers used. The activities of an arranger may cover a variety of publishing activities, including activities from preparation for publishing, sales to distribution, or more specific activities in publishing, for example SBK sales. Point b Sufficiently clear. Point c Sufficiently clear. Point d Sufficiently clear. Point e Sufficiently clear. Point f Number 1 The term “SBK paying agent" means the party who is the paying agent when ordering SBK and/or after SBK issuance. Number 2 Sufficiently clear. Section (2) Sufficiently clear. Section (3) Sufficiently clear.

68 Article 51 Sufficiently clear. Article 52 Sufficiently clear. Article 53 Sufficiently clear. Article 54 Sufficiently clear. Article 55 Sufficiently clear. Article 56 Sufficiently clear. Article 57 Section (1) Point a Offers include marketing activities, ordering, nominal determination, payment, and distribution. Point b Sufficiently clear. Section (2) Sufficiently clear. Article 58 Sufficiently clear. Article 59 Point a The term “determination of the nominal SBK" means the determination of the number of SBK to be issued against the amount, which is sourced from offers received from all prospective SBK investors including the nominal amount allocated for each investor. Point b The term “SBK purchase payment" means the payment made by a prospective SBK investor to the SBK issuer for the purchase of SBK. Point c The term “SBK distribution" means the electronic recording of SBK at the central custodian appointed by Bank Indonesia. The recording in question is up to the recording of the SBK investor level. Article 60 Section (1) Sufficiently clear. Section (2)

69 Forms of good governance include documentation of all order data and the entire process from ordering to determining the nominal amount is well documented. Article 61 Sufficiently clear. Article 62 Section (1) Point a Example 1: PT ABC obtained approval as an SBK issuer on 1 October 2024. PT ABC issues SBK with the following details: Name of SBK: SBK PT ABC Phase I 2024 Offer period: 2 – 4 October 2024 Nominal determination date: October 8, 2024 Distribution deadline: 10 October 2024 (2 Business Days after the nominal determination date). Example 2: PT ABC obtained approval as an SBK issuer on 1 October 2024. PT ABC issues SBK with the following details: Name of SBK: SBK PT ABC Phase I 2024 Offer period: 28 – 31 October 2024 Nominal determination date: 4 November 2024 Distribution deadline: 5 November 2024 (25 Business Days after the date of approval as SBK issuer). Point b Sufficiently clear. Section (2) Sufficiently clear. Article 63 Section (1) Sufficiently clear. Section (2) The deed of issuance statement is a statement made in a notarial deed, which includes, among other things, the following: a. the SBK issuer is truly the SBK issuer as regulated in Bank Indonesia's provisions regarding money market transactions; b. SBK issuers have fulfilled the requirements stipulated in Bank Indonesia's provisions regarding money market transactions; and c. SBK will be recorded and administered electronically at the central custodian appointed by Bank Indonesia. Article 64 Section (1) In the event of a cancellation from the investor resulting in no payment, the cancellation amount is not included in the calculation of the issuance amount. Section (2) Sufficiently clear. Article 65

70 Sufficiently clear. Article 66 Sufficiently clear. Article 67 Sufficiently clear. Article 68 Section (1) The postponement of the SBK offering and the implementation of the new SBK offering must remain within the approval period as the SBK issuer by Bank Indonesia. Section (2) The term “maximum period for postponing the SBK offering” means the period between the initial SBK distribution deadline and the new SBK distribution date due to the offer postponement. Example: PT A will postpone the SBK offering. The initial deadline for distribution of SBK PT A is 1 October 2024. The deadline for SBK distribution after the postponement is 1 November 2024. Section (3) Sufficiently clear. Article 69 Sufficiently clear. Article 70 Sufficiently clear. Article 71 Sufficiently clear. Article 72 Sufficiently clear. Article 73 Sufficiently clear. Article 74 Sufficiently clear. Article 75 Sufficiently clear. Article 76 Section (1) Post-issuance of SBK is deemed to occur after distribution of SBK is carried out. Section (2) Sufficiently clear. Section (3)

71 Sufficiently clear. Article 77 Section (1) Sufficiently clear. Section (2) Point a Sufficiently clear. Point b Changes in business activities include the closure of a business unit. Point c Sufficiently clear. Point d Sufficiently clear. Point e The results of special supervision include the existence of special supervision status imposed by authorities and restrictions on business licenses. Point f Sufficiently clear. Point g Sufficiently clear. Point h Sufficiently clear. Point i Sufficiently clear. Article 78 Sufficiently clear. Article 79 Sufficiently clear. Article 80 Sufficiently clear. Article 81 Point a Sufficiently clear. Point b Transactions for borrowing and lending money other than inter￾bank credit are also called interbank call money. Point c Sufficiently clear. Point d Sufficiently clear. Point e Sufficiently clear. Article 82 Sufficiently clear.

72 Article 83 Section (1) A unique transaction code is a number that uniquely distinguishes one SBK transaction from another SBK transaction. A unique transaction code may be created and agreed upon between SBK transaction participants and/or SBK transaction supporting institutions. Section (2) Sufficiently clear. Article 84 Sufficiently clear. Article 85 Example 1: PT A agreed to sell SBK to PT B for Rp5,000,000,000.00 (five billion rupiah) on 1 October 2024. Considering that transaction settlement will be carried out not later than 3 (three) Business Days and 2, 3, and 4 October 2024 are Business Days, transaction settlement will be carried out not later than 4 October 2024. Example 2: PT C agreed to sell SBK to PT D for Rp3,000,000,000.00 (three billion rupiah) on 25 October 2024. Considering that transaction settlement will be carried out not later than 3 (three) Business Days and 26 and 27 October 2024 are Saturday and Sunday, transaction settlement will be carried out not later than 30 October 2024. Article 86 Sufficiently clear. Article 87 Sufficiently clear. Article 88 Section (1) Sufficiently clear. Section (2) Point a Security name includes publication series. Point b Sufficiently clear. Point c Sufficiently clear. Point d Sufficiently clear. Point e The term “issuance date” means the date on which the Time Deposit Certificate is distributed electronically by the central custodian appointed by Bank Indonesia. Point f Sufficiently clear. Point g Sufficiently clear.

73 Point h Sufficiently clear. Section (3) Sufficiently clear. Section (4) Sufficiently clear. Article 89 Sufficiently clear. Article 90 Sufficiently clear. Article 91 Sufficiently clear. Article 92 Sufficiently clear. Article 93 Section (1) See explanation of Article 81 point b. Section (2) Sufficiently clear. Section (3) Sufficiently clear. Section (4) Sufficiently clear. Article 94 Section (1) Sufficiently clear. Section (2) Master agreements and/or standard contracts include the Global Master Repurchase Agreement. Section (3) Sufficiently clear. Section (4) Sufficiently clear. Article 95 The provisions of the relevant authorities include provisions of the financial sector authorities that regulate repurchase agreement transactions. Article 96 Section (1) Point a The term “interest rate swap transaction" means a contract or agreement between 2 (two) parties to exchange interest rate flows periodically during the contract period or at the end of the contract period based on a certain principal amount. Interest rate swap transactions include transactions that use overnight tenor interest rates as interest rates for determining

74 the Pricing or what are called overnight index swap transactions. An overnight index swap transaction is a contract or agreement between 2 (two) parties to exchange interest rate flows periodically during the contract period or at the end of the contract period based on a certain notional amount (principal) calculated using a daily interest basis (daily compounding). Point b The term "forward rate agreement transaction" means a contract or agreement between 2 (two) parties to exchange interest rate exposure with a certain principal amount at a certain time in the future or for a certain period of time with an interest rate that has been agreed upon at the time of contract initiation. Point c The term “interest rate option transaction" means a contract or agreement to exchange a flow of interest rates agreed upon at the initiation of the contract, where the buyers may choose to exercise their rights at the end or at a certain time during the contract period. Point d Sufficiently clear. Section (2) Sufficiently clear. Article 97 Section (1) Money Market Transaction Participants may be residents and non-residents. Section (2) Point a Sufficiently clear. Point b The term “equity" means total equity consisting of paid-in capital, retained earnings, additional paid-in capital (share premium), and accumulation of other comprehensive income. Point c Example 1: AAA Company has been conducting business activities since 1 March 2025. On 1 November 2025, AAA Company plans to enter into an interest rate swap transaction for the purpose of hedging interest rates on working capital loans. Company AAA may not carry out interest rate swap transactions because it has not carried out business activities for 12 (twelve) consecutive months. Example 2: BBB Company has been conducting business activities since 1 March 2014. On 1 March 2023, BBB Company ceased its business activities due to the company's deteriorating financial condition. On 1 March 2024, after receiving additional capital, the BBB company resumed its business activities. For this reason, the new BBB company may only carry out interest rate swap transactions after conducting business activities for 12 (twelve) consecutive months,

75 namely on 1 March 2025 and having equity of at least Rp5,000,000,000.00 (five billion rupiah). Section (3) Sufficiently clear. Section (4) Sufficiently clear. Article 98 Section (1) Financial contracts and/or written confirmations showing that a transaction has occurred may be included in the same document as the long-form confirmation. Section (2) Sufficiently clear. Section (3) Sufficiently clear. Section (4) Sufficiently clear. Article 99 Sufficiently clear. Article 100 Sufficiently clear. Article 101 Section (1) Sufficiently clear. Section (2) Point a Active supervision by management includes at least: a. establish the Bank's plan for Interest Rate Derivative Transactions; b. establish Bank policies and procedures for Interest Rate Derivative Transactions; and c. monitor and evaluate Interest Rate Derivative Transactions. Point b Sufficiently clear. Point c Sufficiently clear. Point d Sufficiently clear. Point e Sufficiently clear. Section (3) Point a Number 1 Sufficiently clear. Number 2 The customer's financial profile includes sources of funds, characteristics of the sources of funds owned, assets/wealth owned, capital owned, customer financial commitments/obligations to banks and non-banks. Point b

76 Sufficiently clear. Point c Sufficiently clear. Point d Sufficiently clear. Point e Sufficiently clear. Point f Sufficiently clear. Point g Sufficiently clear. Article 102 Sufficiently clear. Article 103 Sufficiently clear. Article 104 Sufficiently clear. Article 105 Section (1) Sufficiently clear. Section (2) Point a Sufficiently clear. Point b Early termination may also be carried out for Money Market Transactions cleared through a central counterparty. Point c Sufficiently clear. Article 106 Sufficiently clear. Article 107 Sufficiently clear. Article 108 Sufficiently clear. Article 109 Sufficiently clear. Article 110 Sufficiently clear. Article 111 Sufficiently clear. Article 112 Sufficiently clear.

77 Article 113 Sufficiently clear. Article 114 Sufficiently clear. Article 115 Sufficiently clear. Article 116 Section (1) Sufficiently clear. Section (2) Sufficiently clear. Section (3) Sufficiently clear. Section (4) Sufficiently clear. Section (5) Sufficiently clear. Section (6) Example 1: PT A has approval as an SBK issuer with a validity period until 1 February 2028. PT A issued SBK with a maturity date of 20 August 2027 and did not issue any more SBK until the end of the approval period. Thus, PT A is required to submit a report until 5 July 2027. Example 2: PT A has approval as an SBK issuer with a validity period until 1 October 2027. On 5 September 2027, PT A issued SBK with a maturity date of 4 September 2028. Thus, PT A ise required to submit a report until 5 July 2028. Section (7) Sufficiently clear. Article 117 Section (1) Sufficiently clear. Section (2) Sufficiently clear. Section (3) Including changes to material information and facts, including changes to the application documents for approval as an SBK issuer. Point a The SBK issuer's application for approval in the form of a legal opinion does not need to be resubmitted In the event that there are changes to the information and material facts. Example 1: SBK issuer PT Y experienced changes to its articles of association. In the incidental report, PT Y must submit a copy of the deed containing changes to the articles of association. Example 2:

78 PT S experienced a change in the main director. PT S must submit: a. deed of amendment containing changes to the main director; b. resume and personal statement from the new CEO; and c. PT S's statement letter signed by the new president director. Point b Evidence of disclosure of information and material facts to prospective SBK investors and/or SBK investors may be in the form of disclosure of information or material facts through the SBK issuer's page as evidenced by a screenshot of the information in question on the SBK issuer's page. Article 118 Sufficiently clear. Article 119 Section (1) Sufficiently clear. Section (2) Bank Indonesia's reporting system includes integrated general bank reports and non-bank and custodian money market reports. Section (3) Sufficiently clear. Section (4) Sufficiently clear. Article 120 Sufficiently clear. Article 121 Sufficiently clear. Article 122 Sufficiently clear. Article 123 Sufficiently clear. Article 124 Sufficiently clear. Article 125 Sufficiently clear. Article 126 Sufficiently clear. Article 127 Sufficiently clear. Article 128

79 Sufficiently clear . Article 129 Sufficiently clear .