Foreign Banking in Indonesia

Hornick, Robert N. | January 1, 1984

The purpose of this article is to discuss the regulation of foreign banking in Indonesia, including the regulation of onshore and offshore banking activities, and local security devices. Although the offshore business of foreign banks has been relatively more active over the years than the onshore business, there has been a recent sharp increase in on- shore business, and some indication of a more sympathetic attitude to onshore foreign banking by the regulatory authorities. This suggests that it is an appropriate time for surveying the foreign bank regulations of Indonesia.