26 Mar 2014
BI'S CIRCULAR REGARDING CREDIT INFORMATION MANAGEMENT INSTITUTION ('LPIP')
In furtherance of its Regulation No. 15/1/PBI/2013 (“PBI 15/2013”) regarding Credit Information Management Institution or Lembaga Pengelola Informasi Perkreditan (“LPIP”), Bank Indonesia issued, on 5 December 2013, its Circular Letter No. 15/49/DPKL of 2013 regarding Credit Information Management Institution (“Circular 15/2013”).
This Circular 15/2013 contains provisions for the implementation of PBI 15/2013. We highlight the following provisions:
a. Maximum total foreign ownership in one LPIP is 20%;
b. A foreign entity’s total combined shareholding in LPIPs must not exceed 20%; and
c. Foreign shareholders in an LPIP must fulfill the requirement of three years experience in credit information management in their country of origin.
Under the SIPNAS, credit information can be accessed through the LPIP, which obtains the information not only from Bank Indonesia but also from financial and non-financial institutions. (By: Sarah Faisal Rosa)