On May 15, IDN DEP issued rules for calculating, collecting premiums.
IDN DEP established regulation for calculating, collecting premiums from banks for bank restructuring program (PRP) to manage potential banking sector crises.
Follows IDN JDIH Jun. 2023 issued bank restructuring program funding rule, #176512.
Document dated May 15, 2024, was received on Oct. 15, 2024 due to a fixed feed.
Premium Payments
Banks pay additional premium (PRP premium) on top of deposit insurance premiums.
The premium is based on bank asset size and risk level, with five asset categories (less than IDR 1trn to over IDR 100trn) and five risk categories (composite ratings 1 to 5).
Premium payments are due twice a year (by Jan. 31 and Jul. 31); initial payments are based on the average total assets for the previous months, with later adjustments.
Late payments incur fines of 0.5% per day, capped at 150% of the amount due; special rules apply for banks that are undergoing resolution or financial distress.
Premiums collected are managed separately from the regular deposit insurance premiums; for Islamic banks, they are managed according to Sharia principles.
Effectiveness
First premiums under this regulation will be collected for period of Jan. to Jun. 2025.
In Nov. 2024, IDN DEP issued circulars re bank premium payment, see #235715.
