Banking Terms Based on the word / phrase from letter D (Part IV / End) :
Directors of the Bank.
Are:
a. Board of Directors as referred to Article 1 paragraph 4 of Act 1 of 1995 About Limited Liability Companies Limited Liability for the bank.
b. Board of Directors as referred to article 11 of Law No. 5 of 1962 About the Company Areas of a Bank incorporated Regional Corporate Law.
c. Board of Cooperative Banks in the form of Law referred to in Article 29 of Act No.25 of 1992 on Cooperatives.
Another term for the Board of Directors of the Bank is a Senior Management.
Disaster & Recovery Plan.
Is a prevention plan that has been tested to ensure continuity and recovery activities of the bank in case of disruption or disaster to the Technology Information System (TSI). Banks need to establish disaster & recovery plan mainly for processing of applications that are critical in the event of failure of hardware and software, and the destruction of existing facilities both facilities are temporary or permanent.
Applications that are critical:
Planning is expected to give priority to processing applications re-making a critical or sensitive nature that have a major influence on the business activities of banks.
Critical computer equipment:
Planning is expected to also identify things that are critical, such as operating systems, network communications, data files, and other supplies, for the purpose of recovery as a result of the disaster.
Back-ups:
Location and hardware. Needs to be done on location and selection of compatible hardware for processing a replacement, and testing is done regularly on the readiness when required in an emergency.
Replacement processing procedure manually:
Units of work the user needs to establish an alternative to manually processing procedures, which may be used until the TSI unit capable of restoring the data processing operations after a disaster. In the field of non-IT, Disaster and Recovery Plan is also known as "Business Continuity Plan" or a Business Continuity Plan.
Discount Rate (Discount Rate).
Is a general term for the interest paid upfront, which is interest rates are calculated on the future cash flow in order to obtain the present value (net present value) of an investment. Selection of the discount rate (high-low) is a reflection of the risk of an investment / project.
Displace Commercial Risk.
This term is contained in Bank Islam, is the transfer of the risks associated with the storage of funds are equity. It arises when a bank is under commercial pressure to
Monday, August 22, 2011
Banking Terms Based on the word / phrase from letter D (Part III / IV)
Banking Terms Based on the word / phrase from letter D (Part III / IV) :
Deposits on Call.
Is a savings withdrawal can be done with prior notice (1hari s / d 3 days before the withdrawal) in accordance with an agreement between the owner of the funds with the bank.
Deposit Slip (Deposit Slip).
Is a form to be filled out as proof of remittance of money transaction, either a cash deposit, deposit slips or checks clearing the bank to be recorded into a specific account is written in the Deposit Slip.
DEQ (Delivered Ex Quay / Duty Paid).
The term is usually followed by the name of the port of destination, is a code in the International Commercial Terms (Incoterms), which means limits the responsibility of Seller / Seller to the Buyer / Buyer for export of both the cost of shipping goods, transport and limited risk until the goods enter the customs territory of the Buyer / Buyer. Thus Seller / Vendor is responsible for revenues and license fees.
Limits of responsibility include:
a. Carriage arranged by seller.
b. Risks and costs of switching from seller to buyer when the goods are put in place the buyer at the dock.
c. The seller must bear all the risks and costs incurred to send the requested goods to the port and unload at the pier. Import duties are paid the seller.
Depreciation.
Is in the accounting process to allocate the cost of an asset against pandapatan periodically, including software and computer hardware. Depreciation of assets in accounting purpose is to distribute the cost according to the estimated useful life of assets (estimated useful life) of the assets concerned. Depreciation is recorded in the Income Statement (Profit and Loss) as a cost in the period. How besartnya fees charged are based on assumptions that must be tailored to the bank's accounting policies and regulations / directions taxation and carried out consistently each period.
Derivatives.
Is a financial instrument or other contract which falls within the scope of this statement by the three following characteristics:
(A) its value changes as a result of changes in interest rates, financial instrument price, commodity price, foreign currency exchange rates, price index or index interest rate, credit rating or credit index, or other variables that have been determined, all for non-variable financial variables are not determined exclusively for the parties to the contract (often referred to as the underlying variables).
(B) requires no initial net investment or net initial investment in a smaller amount than the amount needed for other similar contract that is expected to produce the same effect on changes in market factors; and
(C) were completed on a certain date in the future.
Embedded derivatives.
Is a component of the combined instrument (hybrid / combined instrument) a category including all the major non-derivative contracts, which resulted in some cash flow stemming from the combined instrument vary as a stand-alone derivative. Embedded derivative causes some or all of the cash flow, required under the contract, modified according to the interest rate, financial instrument price, commodity price, foreign currency exchange rates, price index or index interest rate, credit rating or credit index, or other variables that has been determined, all for non-financial variables is not a variable determined exclusively for the parties to the contract. Derivatives embedded in financial instruments but the contract can be transferred separately from the financial instrument, or owned by the different opponents of financial instrument, not an embedded derivative, but a separate financial instrument.
DES (Delivered Ex Ship).
The term is usually followed by the name
Deposits on Call.
Is a savings withdrawal can be done with prior notice (1hari s / d 3 days before the withdrawal) in accordance with an agreement between the owner of the funds with the bank.
Deposit Slip (Deposit Slip).
Is a form to be filled out as proof of remittance of money transaction, either a cash deposit, deposit slips or checks clearing the bank to be recorded into a specific account is written in the Deposit Slip.
DEQ (Delivered Ex Quay / Duty Paid).
The term is usually followed by the name of the port of destination, is a code in the International Commercial Terms (Incoterms), which means limits the responsibility of Seller / Seller to the Buyer / Buyer for export of both the cost of shipping goods, transport and limited risk until the goods enter the customs territory of the Buyer / Buyer. Thus Seller / Vendor is responsible for revenues and license fees.
Limits of responsibility include:
a. Carriage arranged by seller.
b. Risks and costs of switching from seller to buyer when the goods are put in place the buyer at the dock.
c. The seller must bear all the risks and costs incurred to send the requested goods to the port and unload at the pier. Import duties are paid the seller.
Depreciation.
Is in the accounting process to allocate the cost of an asset against pandapatan periodically, including software and computer hardware. Depreciation of assets in accounting purpose is to distribute the cost according to the estimated useful life of assets (estimated useful life) of the assets concerned. Depreciation is recorded in the Income Statement (Profit and Loss) as a cost in the period. How besartnya fees charged are based on assumptions that must be tailored to the bank's accounting policies and regulations / directions taxation and carried out consistently each period.
Derivatives.
Is a financial instrument or other contract which falls within the scope of this statement by the three following characteristics:
(A) its value changes as a result of changes in interest rates, financial instrument price, commodity price, foreign currency exchange rates, price index or index interest rate, credit rating or credit index, or other variables that have been determined, all for non-variable financial variables are not determined exclusively for the parties to the contract (often referred to as the underlying variables).
(B) requires no initial net investment or net initial investment in a smaller amount than the amount needed for other similar contract that is expected to produce the same effect on changes in market factors; and
(C) were completed on a certain date in the future.
Embedded derivatives.
Is a component of the combined instrument (hybrid / combined instrument) a category including all the major non-derivative contracts, which resulted in some cash flow stemming from the combined instrument vary as a stand-alone derivative. Embedded derivative causes some or all of the cash flow, required under the contract, modified according to the interest rate, financial instrument price, commodity price, foreign currency exchange rates, price index or index interest rate, credit rating or credit index, or other variables that has been determined, all for non-financial variables is not a variable determined exclusively for the parties to the contract. Derivatives embedded in financial instruments but the contract can be transferred separately from the financial instrument, or owned by the different opponents of financial instrument, not an embedded derivative, but a separate financial instrument.
DES (Delivered Ex Ship).
The term is usually followed by the name
Banking Terms Based on the word / phrase from letter D (Part II / IV)
Banking Terms Based on the word / phrase from letter D (Part II / IV) :
Dealing Room (The Dealing Room).
Is a unit of work on the Treasury Department of a bank that serves to adjust the (matching), manage (manage) and control (control) market risk. Before the Bank establish Middle Office, the unit is regulated provision of funds, liquidity and investment to sustain assets and liabilities that are formed from regular banking business. Dealing Room is responsible for implementing management and control of market risk in accordance with the authority given by the bank's risk management committee. Dealing Room is also responsible to meet the needs of business units to set the price (pricing) of market risk to be applied on bank products and services. Dealing Room acts as a representative bank in the activities of international and domestic financial markets and usually take responsibility in the management of market risk in accordance with instructions received from the bank's Risk Management Committee. Risk Taking Dealing Room is a work unit and the implementation of Dealing Room is controlled by the Back Office. After the formation of some of the functions of Middle Office Dealing Room diverted to the Middle Office.
Debit Card.
Is a card that ditebitkan by the Bank which is generally used as the completeness of the use of ATM (Automated Teller Machine / Automated Teller Machine) and POS (point of sales) that can be used in purchasing goods and services electronically. Serves as a replacement debit card cash or checks. The value of transactions performed automatically deducted from checking or savings account balance card holder (card holder). A Debit Card may require entry name or PIN (personal identification number) on a control instrument for the implementation of a transaction.
Debtor.
Is the individual customer or company / entity does
Dealing Room (The Dealing Room).
Is a unit of work on the Treasury Department of a bank that serves to adjust the (matching), manage (manage) and control (control) market risk. Before the Bank establish Middle Office, the unit is regulated provision of funds, liquidity and investment to sustain assets and liabilities that are formed from regular banking business. Dealing Room is responsible for implementing management and control of market risk in accordance with the authority given by the bank's risk management committee. Dealing Room is also responsible to meet the needs of business units to set the price (pricing) of market risk to be applied on bank products and services. Dealing Room acts as a representative bank in the activities of international and domestic financial markets and usually take responsibility in the management of market risk in accordance with instructions received from the bank's Risk Management Committee. Risk Taking Dealing Room is a work unit and the implementation of Dealing Room is controlled by the Back Office. After the formation of some of the functions of Middle Office Dealing Room diverted to the Middle Office.
Debit Card.
Is a card that ditebitkan by the Bank which is generally used as the completeness of the use of ATM (Automated Teller Machine / Automated Teller Machine) and POS (point of sales) that can be used in purchasing goods and services electronically. Serves as a replacement debit card cash or checks. The value of transactions performed automatically deducted from checking or savings account balance card holder (card holder). A Debit Card may require entry name or PIN (personal identification number) on a control instrument for the implementation of a transaction.
Debtor.
Is the individual customer or company / entity does
Sunday, August 21, 2011
Banking Terms Based on the word / phrase from letter D (Part I / IV)
Banking Terms Based on the word / phrase from letter D (Part I / IV) :
DAF (Delivered at Frontier).
The term is usually followed by the name of the place, is a code in the International Commercial Terms (Incoterms), which means limits the responsibility of Seller / Seller to the Buyer / Buyer for export of both the cost of shipping goods, transport and the risk is limited to somewhere outside the borders Seller / The seller (usually occurs in the transaction in neighboring countries). Limits of responsibility include:
a. Carriage arranged by seller.
b. Risks and costs of switching from seller to buyer when the goods have been delivered at the border.
c. Seller handed when the goods are put in place the buyer when the arrival of the carrier, has not been dismantled, are free to export but not yet out for imports, at the appointed place at the frontier, but before the customs border of neighboring countries earlier.
Difference List.
Is a list containing items account the difference between branches or between branches of the Central Office. Normally the set procedure in which a list is the headquarters for the difference between accounts with the branches and Head Office Branch a more "old" for the branches are "younger". The list was created after the matching of inter-branch accounts for inter-office account balance should be. The function list of the difference disappeared after using the system "on line".
Daily Settlement Limit.
Is the determination of the amount of settlement that can be done every day to limit losses due to time differences between countries.
Systemic Impact.
Is the potential spread of the problem (contagion effect) of a troubled bank may cause liquidity problems that other banks that could potentially cause loss of confidence in the banking system and can negatively impact the stability of the financial system. Impact or systemic risk is assessed from the 2 (two) main aspects of the deployment problem (contagion) and economic loss (degree of loss) caused. Factors considered in determining systemic effects are:
(A) Internal factors, namely the difficulties faced likiditas one or more banks with systemic impact, and / or
(B) External factors
DAF (Delivered at Frontier).
a. Carriage arranged by seller.
b. Risks and costs of switching from seller to buyer when the goods have been delivered at the border.
c. Seller handed when the goods are put in place the buyer when the arrival of the carrier, has not been dismantled, are free to export but not yet out for imports, at the appointed place at the frontier, but before the customs border of neighboring countries earlier.
Difference List.
Is a list containing items account the difference between branches or between branches of the Central Office. Normally the set procedure in which a list is the headquarters for the difference between accounts with the branches and Head Office Branch a more "old" for the branches are "younger". The list was created after the matching of inter-branch accounts for inter-office account balance should be. The function list of the difference disappeared after using the system "on line".
Daily Settlement Limit.
Is the determination of the amount of settlement that can be done every day to limit losses due to time differences between countries.
Systemic Impact.
Is the potential spread of the problem (contagion effect) of a troubled bank may cause liquidity problems that other banks that could potentially cause loss of confidence in the banking system and can negatively impact the stability of the financial system. Impact or systemic risk is assessed from the 2 (two) main aspects of the deployment problem (contagion) and economic loss (degree of loss) caused. Factors considered in determining systemic effects are:
(A) Internal factors, namely the difficulties faced likiditas one or more banks with systemic impact, and / or
(B) External factors
Thursday, August 18, 2011
Banking Terms Based on the word / phrase from letter C (Part IV / End)
Banking Terms Based on the word / phrase from letter C (Part IV / End) :
Countertrade.
Or Return of Commerce, is a trading scheme or an international trade practice in which suppliers of goods / services in terms of agreeing a sale and purchase agreement to also make a purchase (reciprocity) and complied with certain requirements as a compensation and benefits to the buyer, so the suppliers of goods / services shall receive goods or provide other compensation to the buyer in return or payment of part or all of the goods / services they sell or trade for.
Goods or services that are exchanged by the supplier / seller of goods / services trade offs in the scheme consists of items of technology transfer, commercial rights, and services transferred through the export / import to equity participation.
Some variations in countertrade manifested in forms as follows:
(1) Barter.
Namely trade in "non-currency" of the oldest in the world, where trading is done through the exchange of goods / services with the goods / services directly and simultaneously with the value being equal or roughly comparable to the other without the use of payment instruments such as money. Barter in the form originally only performed by a single agreement without involving a third party. In a barter both sides have the same position, namely as a seller and buyer. In a further development barter or other instruments begin to involve third parties as collateral, namely by using:
a). Standby L / C
That the parties issuing L / C with mean when one is not satisfied with the goods / services obtained, it can melt the L / C opened by the partners.
b). Escrow Account
That is a special bank account as collateral, where revenues (convertible currency from exports) were collected. So the parties sell each other party goods trade and the results incorporated into the Escrow Account. Disbursement of Escrow accounts are set according to trading partner agreements.
(2) Switch Trade.
Ie third party authorized by the parties to sell goods / services are exchanged, so that the parties who exchange will obtain the desired currency
(3) Compensation
Namely an exchange of goods or services, where suppliers of goods / services agreed to pay part or all of the goods / services it sells the goods / services. The main form of direct compensation is called "buyback" while the indirect is "counterpurchase" (purchase returns).
(4) Counterpurchase
That is an agreement where the supplier of goods / services received in part or whole payment in the form of goods / services of another. For example the supplier agreed to buy or sell goods / services of other parties designated buyers.
(5) Offset.
That is a form of trade offs where the overseas supplier agreed to make investments or joint production or technology transfer country of the buyer of goods / services or providing equipment, or assistance necessary for the establishment of new industries with export destination, and or the construction or expansion of existing technologies and industrial capabilities.
Country Limit.
Trading is the maximum setting that can be done against a country, which aims to limit the risk of losses due to instability, social, political and economic country. Factors that are considered especially Social, Political, Economic and Banking of the country concerned.
Country Risk.
Is a risk of something that can happen in a country that could jeopardize the ability of borrowers to meet loan repayment obligations. Country Risk can be divided into:
- Sovereign (political) risk.
- Foreign exchange or transfer of risk.
Coupon (Coupon).
This term is used in fixed-interest bonds (interest bearing bonds), the coupons attached to bonds issued certificates. Each coupon represents a special interest payment at maturity of interest payments on that date has been set. To receive interest on the bonds, the coupon must be presented or submitted to the paying agent.
Courier Receipt.
Is the receipt from the courier service company for supply of goods or documents to be forwarded on request exporters. For buyers this is necessary in order to monitor the existence of the document and in preparation for taking the goods diimportnya. For example, L / C include the following requirements: "1 / 3 original B / L and one set of original documents must be sent directly to the applicant of al least one day after shipment by DHL courier service. Courier receipts and the beneficiary's certificate to this effect is required for negotiation.
Cover Note.
Is a written notice from the insurer stating that the goods are insured coverage has been closed by the insurer concerned. Cover note is an affirmation of the company while the insurance before the insurance policy or certificate issued.
CPT (Carriage Paid To).
The term is usually followed by the name of the destination, is a code in the International Commercial Terms (Incoterms), which means limits the responsibility of Seller / Seller for both the cost of export goods, transportation and limited risk to the goods loaded on transport (ships, trucks, trains fire and air ship) plus the cost of transport to the port of destination. In this case the Seller / Seller is responsible for preparing items to be ready for export. Thus the CPT with CFR. They differ only in conveyances CPT can be used for various types of transport equipment, while the CFR only by boat.
Limits of responsibility include:
1. Carriage arranged by seller
2. The risk of switching from seller to buyer when the goods have been delivered to the carrier.
3. Switching costs at the port of destination, buyer paying other expenses incurred outside the contract of carriage is borne by the seller.
4. When carriers used to transport additional to the agreed destination, the risk of switching when the goods are delivered to the carrier first.
5. Expenditures of the customs export (export clearance) is the responsibility of the seller. (9)
(Source: International Chamber of Commerce)
Credit Bureau (Credit Bureau).
Is an 'agency' who do research on credit information (credit information), maintain a complete file of the people / companies (customers) who obtain credit facilities from banks and prospective bank customers who apply for credit. Credit Bureau is a source of information about the credibility of a customer / potential customer. It is already prevalent in the Foreign a.l. in the U.S.. In most European countries, the term is more popular as the Credit Register (CR). In Indonesia in-introdusir by BI in terms of the Credit Information Bureau, see Credit Information Bureau (BIK).
Credit Default Swap (CDS).
Is a way in credit risk transfer in which the party takes over the risk or investor (protection seller) only provides that transfer payments to the risk (protection buyer) if a credit event occurs on the reference assets. Meanwhile, the protection buyer only make payments on the guarantees given by the protection seller in the form of premiums.
Payment by the protection seller at the time the credit event can be done as follows:
1. Par value (par value) is exchanged for a physical value (physical delivery) of the reference assets.
2. In the form of compensation for the difference between par value (par value) and the return value (recovery value) of the reference assets in the event of credit events, or
3. Fixed amount that has been agreed previously.
Credit Line.
Is a facility provided to banks / financial institutions of non-bank counterparties both within and outside the country based on the calculation of the transaction needs to consider the level of bank risk / counterparty non-bank financial institutions.
Credit line is the limit set out to cover the transaction:
1). Treasury
Carry out the transactions Money Market (MM) and the Foreign Exchange (FX)
2). Commercial
Credit Linked Notes (CLN).
Are securities issued by the protection buyer to be paid at par value at maturity with terms no Credit Event occurs on the reference assets until the securities mature. In the event of a credit event the holder of melt CLN CLN CLN to the publisher (with a value among others for the difference between par value (par value) and the return value (recovery value) of the reference assets in the event of credit events).
Credit Rating.
The term Credit Rating can be understood from the definitions and expressions as follows:
1. Credit Rating is a comprehensive evaluation of the credibility (creditworthines) a debtor.
2. Credit Rating is a common measure of the possibility of failure of payment by the debtor to the fulfillment of obligations (general measurement of probability of default)
3. Credit Rating is a 'world language' to the credibility of (the world wide language of creditworthiness)
4. Credit Rating is a reflection of the ability of the debtor / obligor of its obligations in paying the debt principal and interest according to a set time.
Credit Risk Transfer (CRT).
Techniques in risk management is aimed at risk mitigation. CRT means transferring credit risk through various ways so that the original credit risk is a risk that must be borne by the company (bank) was transferred, or offset, or eliminated so that the credit risk for banks to fund a placement / provision of certain loans to an obligor / borrower particular, be nil or at least reduced or minimized. CRT can be applied to both individual obligor and to the portfolio in whole or in part.
The Credit Risk Transfer, will be at least 2 parties involved is a bank that will transfer the credit risk of the so-called 'Risk shedder "(the release of risk) is also called as the' protection buyer 'and others who take risks are referred to as the' Risk Taker 'called as well as the 'protection seller'. In addition there is also something that becomes the basis of the CRT is 'reference entity' or 'reference obligation' or 'reference assets' or 'underlying borrowers' credit risk is transferred / transferred. Sometimes it takes an intermediary in the transfer of risk in CRT structure known as a Special Purpose Entity (SPE)
Crisis Management Protocol (CMP).
Also called Crisis Management Protocol, is the rule (legal) for Bank Indonesia and the financial authorities (monetary and fiscal) to establish policies that will be taken to resolve the situation urgent / emergency situation in order to face the threat of economic / financial markets worsened. In the CMP established basic policies which should be taken immediately. The policy needs to be quickly resolved even in a matter of hours, because if late can destroy the financial markets. Some financial analysts think the CMP is required (up to April 2008 have not been there) because a new crisis arose when it's done a meeting to take action, feared would be too late and ineffective.
Cross Default.
Is a term in the syndicated loan, that the failure of the debtor in meeting its obligations on a member of the syndicate that provides financing will be considered a failure on all members of the syndicate that provides credit to the debtor
CSR (Corporate Social Responsibility).
Is a concept with which a company gives attention to the environment and society as integral to its business operations and interaction with stakeholders on a voluntary basis (on a voluntary basis).
The main functions of an enterprise is to create added value through the production of goods and services needed by society, by which generated profits for the owner (owners) as well as welfare for society, particularly with the creation of sustainable employment. However, pressure from society and the market gradually requires changes in value (values) and the horizon of business activities.
Currency Option.
Is a contract between two parties where the buyer (buyer / holder) option has the right to buy / sell a currency at the future with the agreed price, while the seller (seller / writer) has the obligation to sell / buy the currency is if the buyer carry out their rights. Rate used is called 'strike price' or 'exercise price'. In the transaction 'option', while the buyer has the right if the buyer-seller has an obligation to execute their rights.
There are two types of options as follows:
1. Call Option .. Namely the right to buy option contracts where the buyer pays a premium to the seller the option to acquire the right to buy one currency against another currency at a specified price during a certain period in the future
2. Put Option. Namely the right to sell the option contracts where the buyer pays a premium to the seller the option to acquire rights to sell one currency against another currency at a specified price during a certain period in the future. Party option seller (seller / writer) has the obligation (not right) to buy or sell a currency referred to in the contract if the buyer the option to execute their rights. Premium is compensation for the seller the option of losses that may arise if the buyer execute his rights.
Current Account.
This term is used in the context of macro economy, which is a measure of the flow of goods and services as well as income and investments (investment income) on a State to foreign countries, including goods exported and imported goods, international services transactions, dividends and interest paid and received . If a State receives more money from investments that entry as well as from sales of goods and services exported compared with all payments out of, then the condition is referred to as the surplus in current account. A State may be a surplus in merchandise trade deficit but a surplus was larger than the investment and services transactions (services), which overall makes the deficit on current account. Deficit in
transactions reflect the need for investment transactions and dividend payments of interest on debt and investment from outside (foreign debt)
Customer due diligence (CDD) and Enhance Due Diligence (EDD).
This term is related to the Anti-Money Laundering and Terrorism Financing Prevention, is an activity in the form of identification, verification, and monitoring by the Bank to ensure that customer transactions in accordance with customer profiles.
While the Enhanced due diligence (EDD) is the act CDD deeper by the Bank at the time associated with a relatively high-risk customers, including Politically Exposed Person (PEP) against the possibility of money laundering and terrorist financing
Cut Loss Limit.
Is the determination of a tolerable loss limit (in Pips / point) to avoid greater losses because flukstuasi rate that does not match the predictions.
The main consideration in setting this limit is turmoil in the bank's exchange rate and the courage to take risks, as reflected by the defined risk appetite.
Countertrade.
Or Return of Commerce, is a trading scheme or an international trade practice in which suppliers of goods / services in terms of agreeing a sale and purchase agreement to also make a purchase (reciprocity) and complied with certain requirements as a compensation and benefits to the buyer, so the suppliers of goods / services shall receive goods or provide other compensation to the buyer in return or payment of part or all of the goods / services they sell or trade for.
Goods or services that are exchanged by the supplier / seller of goods / services trade offs in the scheme consists of items of technology transfer, commercial rights, and services transferred through the export / import to equity participation.
Some variations in countertrade manifested in forms as follows:
(1) Barter.
Namely trade in "non-currency" of the oldest in the world, where trading is done through the exchange of goods / services with the goods / services directly and simultaneously with the value being equal or roughly comparable to the other without the use of payment instruments such as money. Barter in the form originally only performed by a single agreement without involving a third party. In a barter both sides have the same position, namely as a seller and buyer. In a further development barter or other instruments begin to involve third parties as collateral, namely by using:
a). Standby L / C
That the parties issuing L / C with mean when one is not satisfied with the goods / services obtained, it can melt the L / C opened by the partners.
b). Escrow Account
That is a special bank account as collateral, where revenues (convertible currency from exports) were collected. So the parties sell each other party goods trade and the results incorporated into the Escrow Account. Disbursement of Escrow accounts are set according to trading partner agreements.
(2) Switch Trade.
Ie third party authorized by the parties to sell goods / services are exchanged, so that the parties who exchange will obtain the desired currency
(3) Compensation
Namely an exchange of goods or services, where suppliers of goods / services agreed to pay part or all of the goods / services it sells the goods / services. The main form of direct compensation is called "buyback" while the indirect is "counterpurchase" (purchase returns).
(4) Counterpurchase
That is an agreement where the supplier of goods / services received in part or whole payment in the form of goods / services of another. For example the supplier agreed to buy or sell goods / services of other parties designated buyers.
(5) Offset.
That is a form of trade offs where the overseas supplier agreed to make investments or joint production or technology transfer country of the buyer of goods / services or providing equipment, or assistance necessary for the establishment of new industries with export destination, and or the construction or expansion of existing technologies and industrial capabilities.
Country Limit.
Trading is the maximum setting that can be done against a country, which aims to limit the risk of losses due to instability, social, political and economic country. Factors that are considered especially Social, Political, Economic and Banking of the country concerned.
Country Risk.
Is a risk of something that can happen in a country that could jeopardize the ability of borrowers to meet loan repayment obligations. Country Risk can be divided into:
- Sovereign (political) risk.
- Foreign exchange or transfer of risk.
Coupon (Coupon).
This term is used in fixed-interest bonds (interest bearing bonds), the coupons attached to bonds issued certificates. Each coupon represents a special interest payment at maturity of interest payments on that date has been set. To receive interest on the bonds, the coupon must be presented or submitted to the paying agent.
Courier Receipt.
Is the receipt from the courier service company for supply of goods or documents to be forwarded on request exporters. For buyers this is necessary in order to monitor the existence of the document and in preparation for taking the goods diimportnya. For example, L / C include the following requirements: "1 / 3 original B / L and one set of original documents must be sent directly to the applicant of al least one day after shipment by DHL courier service. Courier receipts and the beneficiary's certificate to this effect is required for negotiation.
Cover Note.
Is a written notice from the insurer stating that the goods are insured coverage has been closed by the insurer concerned. Cover note is an affirmation of the company while the insurance before the insurance policy or certificate issued.
CPT (Carriage Paid To).
The term is usually followed by the name of the destination, is a code in the International Commercial Terms (Incoterms), which means limits the responsibility of Seller / Seller for both the cost of export goods, transportation and limited risk to the goods loaded on transport (ships, trucks, trains fire and air ship) plus the cost of transport to the port of destination. In this case the Seller / Seller is responsible for preparing items to be ready for export. Thus the CPT with CFR. They differ only in conveyances CPT can be used for various types of transport equipment, while the CFR only by boat.
Limits of responsibility include:
1. Carriage arranged by seller
2. The risk of switching from seller to buyer when the goods have been delivered to the carrier.
3. Switching costs at the port of destination, buyer paying other expenses incurred outside the contract of carriage is borne by the seller.
4. When carriers used to transport additional to the agreed destination, the risk of switching when the goods are delivered to the carrier first.
5. Expenditures of the customs export (export clearance) is the responsibility of the seller. (9)
(Source: International Chamber of Commerce)
Credit Bureau (Credit Bureau).
Is an 'agency' who do research on credit information (credit information), maintain a complete file of the people / companies (customers) who obtain credit facilities from banks and prospective bank customers who apply for credit. Credit Bureau is a source of information about the credibility of a customer / potential customer. It is already prevalent in the Foreign a.l. in the U.S.. In most European countries, the term is more popular as the Credit Register (CR). In Indonesia in-introdusir by BI in terms of the Credit Information Bureau, see Credit Information Bureau (BIK).
Credit Default Swap (CDS).
Is a way in credit risk transfer in which the party takes over the risk or investor (protection seller) only provides that transfer payments to the risk (protection buyer) if a credit event occurs on the reference assets. Meanwhile, the protection buyer only make payments on the guarantees given by the protection seller in the form of premiums.
Payment by the protection seller at the time the credit event can be done as follows:
1. Par value (par value) is exchanged for a physical value (physical delivery) of the reference assets.
2. In the form of compensation for the difference between par value (par value) and the return value (recovery value) of the reference assets in the event of credit events, or
3. Fixed amount that has been agreed previously.
Credit Line.
Is a facility provided to banks / financial institutions of non-bank counterparties both within and outside the country based on the calculation of the transaction needs to consider the level of bank risk / counterparty non-bank financial institutions.
Credit line is the limit set out to cover the transaction:
1). Treasury
Carry out the transactions Money Market (MM) and the Foreign Exchange (FX)
2). Commercial
Credit Linked Notes (CLN).
Are securities issued by the protection buyer to be paid at par value at maturity with terms no Credit Event occurs on the reference assets until the securities mature. In the event of a credit event the holder of melt CLN CLN CLN to the publisher (with a value among others for the difference between par value (par value) and the return value (recovery value) of the reference assets in the event of credit events).
Credit Rating.
The term Credit Rating can be understood from the definitions and expressions as follows:
1. Credit Rating is a comprehensive evaluation of the credibility (creditworthines) a debtor.
2. Credit Rating is a common measure of the possibility of failure of payment by the debtor to the fulfillment of obligations (general measurement of probability of default)
3. Credit Rating is a 'world language' to the credibility of (the world wide language of creditworthiness)
4. Credit Rating is a reflection of the ability of the debtor / obligor of its obligations in paying the debt principal and interest according to a set time.
Credit Risk Transfer (CRT).
Techniques in risk management is aimed at risk mitigation. CRT means transferring credit risk through various ways so that the original credit risk is a risk that must be borne by the company (bank) was transferred, or offset, or eliminated so that the credit risk for banks to fund a placement / provision of certain loans to an obligor / borrower particular, be nil or at least reduced or minimized. CRT can be applied to both individual obligor and to the portfolio in whole or in part.
The Credit Risk Transfer, will be at least 2 parties involved is a bank that will transfer the credit risk of the so-called 'Risk shedder "(the release of risk) is also called as the' protection buyer 'and others who take risks are referred to as the' Risk Taker 'called as well as the 'protection seller'. In addition there is also something that becomes the basis of the CRT is 'reference entity' or 'reference obligation' or 'reference assets' or 'underlying borrowers' credit risk is transferred / transferred. Sometimes it takes an intermediary in the transfer of risk in CRT structure known as a Special Purpose Entity (SPE)
Crisis Management Protocol (CMP).
Also called Crisis Management Protocol, is the rule (legal) for Bank Indonesia and the financial authorities (monetary and fiscal) to establish policies that will be taken to resolve the situation urgent / emergency situation in order to face the threat of economic / financial markets worsened. In the CMP established basic policies which should be taken immediately. The policy needs to be quickly resolved even in a matter of hours, because if late can destroy the financial markets. Some financial analysts think the CMP is required (up to April 2008 have not been there) because a new crisis arose when it's done a meeting to take action, feared would be too late and ineffective.
Cross Default.
Is a term in the syndicated loan, that the failure of the debtor in meeting its obligations on a member of the syndicate that provides financing will be considered a failure on all members of the syndicate that provides credit to the debtor
CSR (Corporate Social Responsibility).
Is a concept with which a company gives attention to the environment and society as integral to its business operations and interaction with stakeholders on a voluntary basis (on a voluntary basis).
The main functions of an enterprise is to create added value through the production of goods and services needed by society, by which generated profits for the owner (owners) as well as welfare for society, particularly with the creation of sustainable employment. However, pressure from society and the market gradually requires changes in value (values) and the horizon of business activities.
Currency Option.
Is a contract between two parties where the buyer (buyer / holder) option has the right to buy / sell a currency at the future with the agreed price, while the seller (seller / writer) has the obligation to sell / buy the currency is if the buyer carry out their rights. Rate used is called 'strike price' or 'exercise price'. In the transaction 'option', while the buyer has the right if the buyer-seller has an obligation to execute their rights.
There are two types of options as follows:
1. Call Option .. Namely the right to buy option contracts where the buyer pays a premium to the seller the option to acquire the right to buy one currency against another currency at a specified price during a certain period in the future
2. Put Option. Namely the right to sell the option contracts where the buyer pays a premium to the seller the option to acquire rights to sell one currency against another currency at a specified price during a certain period in the future. Party option seller (seller / writer) has the obligation (not right) to buy or sell a currency referred to in the contract if the buyer the option to execute their rights. Premium is compensation for the seller the option of losses that may arise if the buyer execute his rights.
Current Account.
This term is used in the context of macro economy, which is a measure of the flow of goods and services as well as income and investments (investment income) on a State to foreign countries, including goods exported and imported goods, international services transactions, dividends and interest paid and received . If a State receives more money from investments that entry as well as from sales of goods and services exported compared with all payments out of, then the condition is referred to as the surplus in current account. A State may be a surplus in merchandise trade deficit but a surplus was larger than the investment and services transactions (services), which overall makes the deficit on current account. Deficit in
transactions reflect the need for investment transactions and dividend payments of interest on debt and investment from outside (foreign debt)
Customer due diligence (CDD) and Enhance Due Diligence (EDD).
This term is related to the Anti-Money Laundering and Terrorism Financing Prevention, is an activity in the form of identification, verification, and monitoring by the Bank to ensure that customer transactions in accordance with customer profiles.
While the Enhanced due diligence (EDD) is the act CDD deeper by the Bank at the time associated with a relatively high-risk customers, including Politically Exposed Person (PEP) against the possibility of money laundering and terrorist financing
Cut Loss Limit.
Is the determination of a tolerable loss limit (in Pips / point) to avoid greater losses because flukstuasi rate that does not match the predictions.
The main consideration in setting this limit is turmoil in the bank's exchange rate and the courage to take risks, as reflected by the defined risk appetite.
Banking Terms Based on the word / phrase from letter C (Part III/IV)
Banking Terms Based on the word / phrase from letter C (Part III/IV) :
Commercial Papers (CP).
Is a short-term debt (typically a maximum 9 months), issued by a company (generally large companies with good performance) with a discount system. CP is an unsecured debt (unsecured promissory Notes).
CP may be an alternative placement of funds for banks and in Indonesia should be rated by independent rating agencies. Currently agencies are PT. Pefindo (Rating Agency of Indonesia).
Bank Indonesia stipulates that CP rating that can be made the object of investment of bank funds only PA.1 s / d PA.4 (Investment grade).
Commitment Letter.
Is a 'statement' issued by the bank stating that the bank will provide a financing facility or other facility if the holders 'Commitment Letter' concerned meets the specified requirements. Commitment Letter is based on good faith (in a good faith) and the commercial and not a definitive document. To be able to reach the point, the customer must meet the necessary requirements and carry out transactions dikemukan in the 'Commitment Letter' in accordance with the intention of publishing the letter. Commitment Letter may also be issued by a Leasing Company as a representation or warranty that the Leasing Company will provide financing Lease Purchase of a capital goods.
see Compliance Director Compliance Director.
Compound Interest.
Is the method of calculating interest which is not only based on the principal but by the principal of the loan plus interest thereon which have expired. Other terms are 'Flowers blooming'.
COMWIL (Cost or market the which ever is lower).
Is a method of determining the value of securities, especially for the presentation of the position of securities in the Bank Financial Statements (Balance Sheet). The value specified role in the Balance Sheet value of securities is based on the value of the lower of cost or market value (cost or markers of the which ever is lower).
Confirmed Irrevocable L / C.
Is the L / C guaranteed by the issuing bank for payment in addition, also guaranteed by the advising bank or other party designated in the L / C (Confirming bank) that are irrevocable.
Consular Invoice.
Invoices are issued by the official agency that is the embassy / consulate / representative of the buyer country or made by exporters who legalized by the embassy or consulate / representative of the purchaser or the friendly country of the buyer country.
Container B / L.
Is the B / L stating that the transport of export goods at B / L by using the container.
Contingency Funding Plan (CFP).
Is a set of policies and procedures which is the blueprint (blueprint) for a bank in meeting the needs of the fund in a given period at a cost (cost) specific. CFP is a projection of future cash flow and funding sources of a bank in the scenario of a particular market situation, including the sharp rise in asset growth or rapid decline in liabilities. To be effective, the CFP should be a manifestation of management's best estimate of the change in position of balance that can be derived from the events / transactions on the aspect of liquidity or credit. CFP may provide a useful framework for managing liquidity risk both short and long term. Further CFP helps to believe that a bank to apply prudential principles, effectively manage liquidity fluctuations in both routine and face large fluctuations.
Coverage of the CFP:
The complexity of a CFP depends on the size (size), nature (nature) and the complexity of the business, risk exposures and organizational structure. To begin with, the CFP should be anticipating all the bank's funding and liquidity needs through:
1. ANALISYS and projecting the flow of funds (funds flows) quantitatively from on and off Balance Sheet and the impact caused.
2. Matching potential cash flows with the use of funds.
3. Establish an early warning indicator for management to establish a level of potential risk.
Contingent Liabilities Contingent Liability see.
Control Environment (Environmental Control).
Is the attitude and activity (attitute and activities) of the Board relating to the importance of control in the organization. Control Environment form the discipline and structure to achieve the main objectives of the internal control system. The control environment includes the following elements:
Integrity and ethical values.
Management's philosophy and operating style
Organizational structure
Assignment of authority and responsibility
Human Resource Policies and Practices
Competence personnel.
Controller (Host - Front End).
Known also as the Telecommunications Control Unit (TCU), is a computer term for a kind of mini computer that serves to control the performance of hardware and software that exist on a system, such as a computer terminal or ATM, network communications or other computer means (12). ( Source: Bank Indonesia).
Convertible Preferred Shares (the Commercial Bank Recapitalization).
This term is related to the recapitalization of commercial banks, are stocks that:
1. Have voting rights on matters that are strategic (Stategic Voting Rights) is limited to:
o The appointment or dismissal as well as important changes in the management of commercial banks, mergers, acquisitions, liquidation is done voluntarily (other) based on Bank Indonesia policy, asset sales that are not directly related to its business activities, issuance of new shares or similar instruments stock others, as well as the determination of dividend declaration.
o Appointment of directors to represent the Government as holder of Preferred Stock;
o Obtaining payment of dividends are cumulative or not cumulative;
o Obtaining advance payment in the case of banks in liquidation.
2. Conversion of the Preferred Stock into common stock immediately upon:
o Government as holder of Preferred Stock Shares Preferennya assign or sell to another party;
o There was a breach of the Recapitalization Agreement is not completed;
o Sale of Additional Preferred Stock by management to investors without government approval.
Core Principles.
Core Principles are a framework which is the minimum standard in sound banking supervision practices that are universally aplikabel. Basel Committee developed the Core Principles and Methodologinya as a contribution to strengthening the global financial system. Weaknesses in the banking system in a State, both in developed countries and in developing countries can threaten financial stability both for the country and internationally. The Basel Committee believes that implementation of core principles in all States is a significant step forward for improving financial stability domestically and internationally, and provides a good basis for continued development of an effective system of banking supervision.
Basel Core Principles define the 25 (twenty five) principles that are necessary in a system of effective banking supervision, namely the principles relating to:
(1) Principle 1: Objectives, independence, powers, transparency and cooperation.
(2) Principle 2; permissible activities.
Commercial Papers (CP).
Is a short-term debt (typically a maximum 9 months), issued by a company (generally large companies with good performance) with a discount system. CP is an unsecured debt (unsecured promissory Notes).
CP may be an alternative placement of funds for banks and in Indonesia should be rated by independent rating agencies. Currently agencies are PT. Pefindo (Rating Agency of Indonesia).
Bank Indonesia stipulates that CP rating that can be made the object of investment of bank funds only PA.1 s / d PA.4 (Investment grade).
Commitment Letter.
Is a 'statement' issued by the bank stating that the bank will provide a financing facility or other facility if the holders 'Commitment Letter' concerned meets the specified requirements. Commitment Letter is based on good faith (in a good faith) and the commercial and not a definitive document. To be able to reach the point, the customer must meet the necessary requirements and carry out transactions dikemukan in the 'Commitment Letter' in accordance with the intention of publishing the letter. Commitment Letter may also be issued by a Leasing Company as a representation or warranty that the Leasing Company will provide financing Lease Purchase of a capital goods.
see Compliance Director Compliance Director.
Compound Interest.
Is the method of calculating interest which is not only based on the principal but by the principal of the loan plus interest thereon which have expired. Other terms are 'Flowers blooming'.
COMWIL (Cost or market the which ever is lower).
Is a method of determining the value of securities, especially for the presentation of the position of securities in the Bank Financial Statements (Balance Sheet). The value specified role in the Balance Sheet value of securities is based on the value of the lower of cost or market value (cost or markers of the which ever is lower).
Confirmed Irrevocable L / C.
Is the L / C guaranteed by the issuing bank for payment in addition, also guaranteed by the advising bank or other party designated in the L / C (Confirming bank) that are irrevocable.
Consular Invoice.
Invoices are issued by the official agency that is the embassy / consulate / representative of the buyer country or made by exporters who legalized by the embassy or consulate / representative of the purchaser or the friendly country of the buyer country.
Container B / L.
Is the B / L stating that the transport of export goods at B / L by using the container.
Contingency Funding Plan (CFP).
Is a set of policies and procedures which is the blueprint (blueprint) for a bank in meeting the needs of the fund in a given period at a cost (cost) specific. CFP is a projection of future cash flow and funding sources of a bank in the scenario of a particular market situation, including the sharp rise in asset growth or rapid decline in liabilities. To be effective, the CFP should be a manifestation of management's best estimate of the change in position of balance that can be derived from the events / transactions on the aspect of liquidity or credit. CFP may provide a useful framework for managing liquidity risk both short and long term. Further CFP helps to believe that a bank to apply prudential principles, effectively manage liquidity fluctuations in both routine and face large fluctuations.
Coverage of the CFP:
The complexity of a CFP depends on the size (size), nature (nature) and the complexity of the business, risk exposures and organizational structure. To begin with, the CFP should be anticipating all the bank's funding and liquidity needs through:
1. ANALISYS and projecting the flow of funds (funds flows) quantitatively from on and off Balance Sheet and the impact caused.
2. Matching potential cash flows with the use of funds.
3. Establish an early warning indicator for management to establish a level of potential risk.
Contingent Liabilities Contingent Liability see.
Control Environment (Environmental Control).
Is the attitude and activity (attitute and activities) of the Board relating to the importance of control in the organization. Control Environment form the discipline and structure to achieve the main objectives of the internal control system. The control environment includes the following elements:
Integrity and ethical values.
Management's philosophy and operating style
Organizational structure
Assignment of authority and responsibility
Human Resource Policies and Practices
Competence personnel.
Controller (Host - Front End).
Known also as the Telecommunications Control Unit (TCU), is a computer term for a kind of mini computer that serves to control the performance of hardware and software that exist on a system, such as a computer terminal or ATM, network communications or other computer means (12). ( Source: Bank Indonesia).
Convertible Preferred Shares (the Commercial Bank Recapitalization).
This term is related to the recapitalization of commercial banks, are stocks that:
1. Have voting rights on matters that are strategic (Stategic Voting Rights) is limited to:
o The appointment or dismissal as well as important changes in the management of commercial banks, mergers, acquisitions, liquidation is done voluntarily (other) based on Bank Indonesia policy, asset sales that are not directly related to its business activities, issuance of new shares or similar instruments stock others, as well as the determination of dividend declaration.
o Appointment of directors to represent the Government as holder of Preferred Stock;
o Obtaining payment of dividends are cumulative or not cumulative;
o Obtaining advance payment in the case of banks in liquidation.
2. Conversion of the Preferred Stock into common stock immediately upon:
o Government as holder of Preferred Stock Shares Preferennya assign or sell to another party;
o There was a breach of the Recapitalization Agreement is not completed;
o Sale of Additional Preferred Stock by management to investors without government approval.
Core Principles.
Core Principles are a framework which is the minimum standard in sound banking supervision practices that are universally aplikabel. Basel Committee developed the Core Principles and Methodologinya as a contribution to strengthening the global financial system. Weaknesses in the banking system in a State, both in developed countries and in developing countries can threaten financial stability both for the country and internationally. The Basel Committee believes that implementation of core principles in all States is a significant step forward for improving financial stability domestically and internationally, and provides a good basis for continued development of an effective system of banking supervision.
Basel Core Principles define the 25 (twenty five) principles that are necessary in a system of effective banking supervision, namely the principles relating to:
(1) Principle 1: Objectives, independence, powers, transparency and cooperation.
(2) Principle 2; permissible activities.
Banking Terms Based on the word / phrase from letter C (Part II/IV)
Banking Terms Based on the word / phrase from letter C (Part II/IV) :
Certificate of Inspection.
Inspection certificate is issued by independent institutions (SGS or PT Sucofindo) or buyer representation in the State of exporters. This certificate is also called the Surveyors Report.
Manufacturer's Certificate of Quality.
The certificate is made by a manufacturer or supplier of goods exported describing the quality of goods or currency export trade, including a new explanation of whether or not the goods and whether the goods meet the specified standards.
Certificate of Origin.
Called also Certificate of Origin (SKA) is a statement issued by the Ministry of Industry and Trade / Chambers of Commerce and Industry of Indonesia or the Forestry Department / Customs stating that the goods exported are really from exporting countries (in this case Indonesia) .
Certificate of Quality.
Called also Certificate of Quality, is a statement that the goods are exported in compliance with quality standards based on test results of samples of goods from the party goods ready for export. Quality certificate was made by the Testing Laboratory Manager Manufacturer Exporter of Quality or the Central Laboratory of certain merchandise that is appointed by the Director General of Foreign Trade - Ministry of Trade and Industry.
Certificates of Sanitary, Health and Veterinary.
Is a Certificate stating that the export of raw materials, plants or parts of the fruits of plants have been inspected and are free from pests and diseases (Certificate of Sanitary). For items related to production / seafood, animal bones and cattle, then the statement is free of pests and diseases are described in the "Certificate of Veterinary" or "Certificate of Health." The level of cleanliness / decay and health and other aspects of the goods are also described in this document.
Cessi Receivable.
Is the transfer of rights to the receivables. If the debtor has a clear Receivables (current or Current) and in guaranteed bank accounts will be transferred right to the bank to collect the debt to the debt and the right to the receivables have been transferred in the call Cessi Receivable. Receivables can be transferred to the Billing Authorization can be done under the hand or in Notaril, as long as not contrary to the requirements stipulated in the agreement between the parties the debts owed to creditors.
Blueprint of Islamic Banking Development in Indonesia.
Islamic Banking is a development plan to 2011, grouped into 4 (four) focused objectives, namely:
i. Fulfillment of sharia principles in Sharia Bank operaional
ii. Application of the precautionary principle in Islamic banking operasioanl
iii. The creation of a competitive Islamic banking system and efficient
iv. And systemic stability and usefulness terrealisasinya Islamic banking system for the wider community.
The blueprint serves as a guideline for the stakeholders of Islamic banking and through the blueprint, expected market share of Islamic peerbankan will rise significantly
CFR (Cost and Freight).
The term is usually followed by the name of the port of destination, is a code in the International Commercial Terms (Incoterms), which means limits the responsibility of Seller / Seller to the Buyer / Buyer for export of both the cost of shipping goods, transport and limited risk to the goods loaded aboard a ship plus with transport costs to port of destination. In this case the Seller / Seller is responsible for preparing items to be ready for export.
Limits of responsibility include:
a. Transportation of regulated sellers.
b. The risk of switching from seller to buyer when the goods pass through the ladder / the ship (on board).
c. Switching costs at the port of destination, buyer paying other expenses incurred outside the contract of carriage is borne by the seller.
d. Expenditures of the customs export (export clearance) is the responsibility of the seller.
Charge Card Sharia.
Is the pattern of financing such as credit card on Conventional Banks. However Charge Card Sharia does not charge interest, but wearing a fee for membership and transactions. Akad used for charge card application is Kafalah and Al Qard.
Chartered Party B / L.
Is the B / L issued by the ship charteran. In the L / C is often required by the buyer that "Chartered Party B / L not allowed.
CIF (Cost, Insurance and Freight).
The term is usually followed by the name of the port of destination, is a code in the International Commercial Terms (Incoterms), which means limits the responsibility of Seller / Seller to the Buyer / Purchaser upon delivery of goods that have been prepared in good export costs, freight and limited risk to the goods loaded aboard a ship plus the cost of transportation and insurance cost to destination port In this case the Seller / Seller is responsible for preparing items to be ready for export. Basically identical to the condition of CFR CIF with additional insurance costs.
CIP (Carriage and Insurance Paid To).
The term is usually followed by the name of the destination, is a code in the International Commercial Terms (Incoterms), which means limits the responsibility of Seller / Seller of any goods either costs, transportation and limited risk to the goods loaded aboard a ship plus the cost freight and insurance costs to the port of destination. In this case the Seller / Seller is responsible for preparing items to be ready for export. Thus, the same as the CIF CIP. They differ only in conveyances CIP can be used for various types of conveyances while CIF only by boat.
Clean B / L.
Is the B / L which did not provide records that the goods listed in the B / L in a state of defective / damaged, and so on, meaning the goods are received by the shipping company is not in a state of defective / damaged.
Clean L / C.
Is the L / C can be thawed enough by issuing money orders and / or receipt of acceptance, which means not required shipping documents and others as a condition of disbursement of L / C.
Clean Up Call.
Is an option that allows securitization exposures such as Asset Backed Securities (ABS) withdrawn / settled before all the underlying exposures (underlying exposures) or exposure to securitization repaid. In the case of a traditional securitization, generally it is accompanied by a repurchase of the remaining securitization exposures when the price of outstanding securitization in question fall below a certain level. In the case of synthetic securitization, clean-up call can be made in the form of a cancellation clause or abolish the credit protection.
Client Resident (CR)
Is a person, corporation or other entity, domiciled or plan to domicile in Indonesia for at least 1 (one) year, including representatives of the diplomatic staff of the Republic of Indonesia and abroad. Other terms are Customers Resident. While Client Non-Resident (CN) is a person, corporation, or other entities not domiciled in Indonesia or plan to domicile in Indonesia.
CLS (Continuos Link Settlement) Bank.
Is a 'Special Purpose Banks' who provide a service 'continuos link settlement' that simultaneously resolve (settle) the payment to the two parties to transact in foreign exchange (fx). This service is a private initiative that is designed to eliminate risks that could occur if one of the 'leg of fx' solved separately, in this case a payment has been made, but payment is not received from other parties.
Currently, the CLS Bank is quite active and is known internationally is the "CLS Bank International" based in New York under the supervision "of the Federal Reserve Bank of New York". This bank is a 'multi-currency bank' that holds the account for each 'Settlement Member' (generally a bank or corporation) and an account for "eligible currency's Central Bank" through which the funds received and paid. While this CLS Bank International to settle 17 types of currencies including the Euro, Pound Sterling, Danish Krone and Swedish Krona. Rupiah has not been included.
C of credit (5 C of credit).
Are criteria that need to be assessed against a credit applicant before being given approval (or rejection) of the application for or renewal of a credit facility.
These criteria are:
1. Charakter (character)
Concerning the character or the character of prospective borrowers. Must be believed that the debtor does not have a deviant character, honest and not believed to be one who likes broken promises, let alone a lie like a fraud.
2. Capacity (ability)
Associated with the ability of the company in terms of production capabilities, ability to generate profits, ability to repay loans.
3. Capital (Capital)
Loans are to provide for financing, so it's not finance all of our customers' needs. Bank credit only "extra" funds so that the customer himself must have capital (own financing for any needs that require financing).
4. Condition of Economy (Economic conditions)
General economic circumstances determine the success of a business or financial plan. Economic circumstances that are both hopeful of the success of a business and vice versa when the economy is sluggish or recession, of course, a lower success rate and can lead to failure.
5. Collateral (Collateral or Collateral)
Loans are secured by a bank to guarantee (collateral), so that when a business fails is still no guarantee that a "Cover" for the return of bank credit.
Collateralised debt obligations (CDOs).
Is one technique in Credit Risk Transfer.
In a CDO, credit risk is transferred from the Risk Sheder to an SPE (Special Purpose Entity) or in a transfer of assets or synthetically using credit derivatives. Although there is no agreed definition (Common Agreed definition) in the literature, CDO secured by the loan (loans) are often referred to as' Collaterallised loan obligations' (CLOS) which is secured by a bond CDO is labeled as' obligations Collaterallised Bonds '(CBOs). CDO Exposure to assets can be done through a cash purchase of the asset (cash CDOs) or using credit derivatives (synthetic CDOs). Further differences are about its use.
Collateral prefund.
Is the Initial Funding (prefund) allowed in the form of collateral, especially for Clearing Debet.Jenis prefund Collateral can be:
(1) Bank Indonesia Certificates (SBI) or Wadiah Bank Indonesia certificates (SWBIs)
(2) Government Securities (SUN) and or
(3) securities or other charges as stipulated by Bank Indonesia.
Combined Transport B / L.
Is the B / L is used as proof of carriage of goods exports for the entire journey both by sea and by land. For example, exports of goods that were originally transported using ships and arriving at the port of destination followed by land transport / truck up to the final destination remains the responsibility of the shipping company that issued B / L is.
Comfort Letter.
Is a letter prepared by an accountant stating whether or not material facts occurring after the date of the last financial statements before the effective date until the Registration Statement which can lead to significant changes or endanger the financial position or results of operations as presented in the financial statements are attached as part of statement document Registration and contained in the Prospectus.
Comfort Letter addressed to Bapepam and the Underwriter, which minimally contains the following points:
1. Comfort Letter.
Date shows the ultimate limit liability of accountants in the implementation of inspection procedures commonly required in connection with the preparation of the Comfort Letter is a maximum of 14 days prior to the Registration Statement for a Public Offering shall be deemed effective. If there are material facts that could lead to significant changes or endanger the financial position or results of operations of the issuer, Bapepam may request an accountant to resubmit a Comfort Letter which covers the period from the previous letter of comfort until she gave the commencement of the offering period.
2. Introductory paragraph.
Contains:
(A) Statement that the accountant has conducted an audit of financial statements of the Issuer which is included as part of the Registration Statement
(B) A statement that the audited financial statements have been prepared in accordance with generally accepted accounting principles and accounting provisions in the Capital Market.
(C) A statement that the reporting accountant has been included in the Registration Statement
3. Para content:
o Statement of Independence accountant
o Compliance with generally accepted accounting principles and accounting provisions of capital market
o Compliance with the Public Accountants Professional Standards
o Statement of the procedure and the review of financial statements that are not audited
o Disclosure of exceptions to the Negative Assurance
o The statement about the procedure and the review after the date of the financial statements are unaudited interim until the date of the Comfort Letter.
o Statement of Pro Forma financial information
o A statement from the accountant regarding financial forecasts or projections
o A statement from an accountant about the suitability of the data public offering prospectus with audited financial statements an accountant.
o A statement from the accountant that in order to provide the above statements accountant has also conducted a review of the minutes of meetings of Directors, the Board of Commissioners, shareholders and other non-financial information relevant up to date comfort letter.
Commercial Documentary L / C.
Is the L / C for disbursement must be accompanied by commercial documents, including the shipping documents (B / L), invoices, bills, and so on according to Weigh list the details asked in the L / C is.
Commercial Invoice.
Commercial Invoice or commercial invoice or a so-called "invoice" course, a detailed memorandum about the price and volume of goods sold are made by the seller and addressed to the buyer.
Overdraft.
Is the provision of facilities beyond the withdrawal of an effective balance in a checking account, which has not made a credit agreement or exceeding the credit limit specified above based on the credit agreement. Another term is "Overdraft".
Intra-day overdrafts.
Is the provision of overdraft by the bank which closed at the end of the day (before the closing cash) so that customer account balances at the end of the day does not exceed the credit limit or do not cause the debit balance on account of intra-day giro.Cerukan unsuccessful closed on that day turned into overdraft (overdraft).
Continued to Part III
Certificate of Inspection.
Inspection certificate is issued by independent institutions (SGS or PT Sucofindo) or buyer representation in the State of exporters. This certificate is also called the Surveyors Report.
Manufacturer's Certificate of Quality.
The certificate is made by a manufacturer or supplier of goods exported describing the quality of goods or currency export trade, including a new explanation of whether or not the goods and whether the goods meet the specified standards.
Certificate of Origin.
Called also Certificate of Origin (SKA) is a statement issued by the Ministry of Industry and Trade / Chambers of Commerce and Industry of Indonesia or the Forestry Department / Customs stating that the goods exported are really from exporting countries (in this case Indonesia) .
Certificate of Quality.
Called also Certificate of Quality, is a statement that the goods are exported in compliance with quality standards based on test results of samples of goods from the party goods ready for export. Quality certificate was made by the Testing Laboratory Manager Manufacturer Exporter of Quality or the Central Laboratory of certain merchandise that is appointed by the Director General of Foreign Trade - Ministry of Trade and Industry.
Certificates of Sanitary, Health and Veterinary.
Is a Certificate stating that the export of raw materials, plants or parts of the fruits of plants have been inspected and are free from pests and diseases (Certificate of Sanitary). For items related to production / seafood, animal bones and cattle, then the statement is free of pests and diseases are described in the "Certificate of Veterinary" or "Certificate of Health." The level of cleanliness / decay and health and other aspects of the goods are also described in this document.
Cessi Receivable.
Is the transfer of rights to the receivables. If the debtor has a clear Receivables (current or Current) and in guaranteed bank accounts will be transferred right to the bank to collect the debt to the debt and the right to the receivables have been transferred in the call Cessi Receivable. Receivables can be transferred to the Billing Authorization can be done under the hand or in Notaril, as long as not contrary to the requirements stipulated in the agreement between the parties the debts owed to creditors.
Blueprint of Islamic Banking Development in Indonesia.
Islamic Banking is a development plan to 2011, grouped into 4 (four) focused objectives, namely:
i. Fulfillment of sharia principles in Sharia Bank operaional
ii. Application of the precautionary principle in Islamic banking operasioanl
iii. The creation of a competitive Islamic banking system and efficient
iv. And systemic stability and usefulness terrealisasinya Islamic banking system for the wider community.
The blueprint serves as a guideline for the stakeholders of Islamic banking and through the blueprint, expected market share of Islamic peerbankan will rise significantly
CFR (Cost and Freight).
The term is usually followed by the name of the port of destination, is a code in the International Commercial Terms (Incoterms), which means limits the responsibility of Seller / Seller to the Buyer / Buyer for export of both the cost of shipping goods, transport and limited risk to the goods loaded aboard a ship plus with transport costs to port of destination. In this case the Seller / Seller is responsible for preparing items to be ready for export.
Limits of responsibility include:
a. Transportation of regulated sellers.
b. The risk of switching from seller to buyer when the goods pass through the ladder / the ship (on board).
c. Switching costs at the port of destination, buyer paying other expenses incurred outside the contract of carriage is borne by the seller.
d. Expenditures of the customs export (export clearance) is the responsibility of the seller.
Charge Card Sharia.
Is the pattern of financing such as credit card on Conventional Banks. However Charge Card Sharia does not charge interest, but wearing a fee for membership and transactions. Akad used for charge card application is Kafalah and Al Qard.
Chartered Party B / L.
Is the B / L issued by the ship charteran. In the L / C is often required by the buyer that "Chartered Party B / L not allowed.
CIF (Cost, Insurance and Freight).
The term is usually followed by the name of the port of destination, is a code in the International Commercial Terms (Incoterms), which means limits the responsibility of Seller / Seller to the Buyer / Purchaser upon delivery of goods that have been prepared in good export costs, freight and limited risk to the goods loaded aboard a ship plus the cost of transportation and insurance cost to destination port In this case the Seller / Seller is responsible for preparing items to be ready for export. Basically identical to the condition of CFR CIF with additional insurance costs.
CIP (Carriage and Insurance Paid To).
The term is usually followed by the name of the destination, is a code in the International Commercial Terms (Incoterms), which means limits the responsibility of Seller / Seller of any goods either costs, transportation and limited risk to the goods loaded aboard a ship plus the cost freight and insurance costs to the port of destination. In this case the Seller / Seller is responsible for preparing items to be ready for export. Thus, the same as the CIF CIP. They differ only in conveyances CIP can be used for various types of conveyances while CIF only by boat.
Clean B / L.
Is the B / L which did not provide records that the goods listed in the B / L in a state of defective / damaged, and so on, meaning the goods are received by the shipping company is not in a state of defective / damaged.
Clean L / C.
Is the L / C can be thawed enough by issuing money orders and / or receipt of acceptance, which means not required shipping documents and others as a condition of disbursement of L / C.
Clean Up Call.
Is an option that allows securitization exposures such as Asset Backed Securities (ABS) withdrawn / settled before all the underlying exposures (underlying exposures) or exposure to securitization repaid. In the case of a traditional securitization, generally it is accompanied by a repurchase of the remaining securitization exposures when the price of outstanding securitization in question fall below a certain level. In the case of synthetic securitization, clean-up call can be made in the form of a cancellation clause or abolish the credit protection.
Client Resident (CR)
Is a person, corporation or other entity, domiciled or plan to domicile in Indonesia for at least 1 (one) year, including representatives of the diplomatic staff of the Republic of Indonesia and abroad. Other terms are Customers Resident. While Client Non-Resident (CN) is a person, corporation, or other entities not domiciled in Indonesia or plan to domicile in Indonesia.
CLS (Continuos Link Settlement) Bank.
Is a 'Special Purpose Banks' who provide a service 'continuos link settlement' that simultaneously resolve (settle) the payment to the two parties to transact in foreign exchange (fx). This service is a private initiative that is designed to eliminate risks that could occur if one of the 'leg of fx' solved separately, in this case a payment has been made, but payment is not received from other parties.
Currently, the CLS Bank is quite active and is known internationally is the "CLS Bank International" based in New York under the supervision "of the Federal Reserve Bank of New York". This bank is a 'multi-currency bank' that holds the account for each 'Settlement Member' (generally a bank or corporation) and an account for "eligible currency's Central Bank" through which the funds received and paid. While this CLS Bank International to settle 17 types of currencies including the Euro, Pound Sterling, Danish Krone and Swedish Krona. Rupiah has not been included.
C of credit (5 C of credit).
Are criteria that need to be assessed against a credit applicant before being given approval (or rejection) of the application for or renewal of a credit facility.
These criteria are:
1. Charakter (character)
Concerning the character or the character of prospective borrowers. Must be believed that the debtor does not have a deviant character, honest and not believed to be one who likes broken promises, let alone a lie like a fraud.
2. Capacity (ability)
Associated with the ability of the company in terms of production capabilities, ability to generate profits, ability to repay loans.
3. Capital (Capital)
Loans are to provide for financing, so it's not finance all of our customers' needs. Bank credit only "extra" funds so that the customer himself must have capital (own financing for any needs that require financing).
4. Condition of Economy (Economic conditions)
General economic circumstances determine the success of a business or financial plan. Economic circumstances that are both hopeful of the success of a business and vice versa when the economy is sluggish or recession, of course, a lower success rate and can lead to failure.
5. Collateral (Collateral or Collateral)
Loans are secured by a bank to guarantee (collateral), so that when a business fails is still no guarantee that a "Cover" for the return of bank credit.
Collateralised debt obligations (CDOs).
Is one technique in Credit Risk Transfer.
In a CDO, credit risk is transferred from the Risk Sheder to an SPE (Special Purpose Entity) or in a transfer of assets or synthetically using credit derivatives. Although there is no agreed definition (Common Agreed definition) in the literature, CDO secured by the loan (loans) are often referred to as' Collaterallised loan obligations' (CLOS) which is secured by a bond CDO is labeled as' obligations Collaterallised Bonds '(CBOs). CDO Exposure to assets can be done through a cash purchase of the asset (cash CDOs) or using credit derivatives (synthetic CDOs). Further differences are about its use.
Collateral prefund.
Is the Initial Funding (prefund) allowed in the form of collateral, especially for Clearing Debet.Jenis prefund Collateral can be:
(1) Bank Indonesia Certificates (SBI) or Wadiah Bank Indonesia certificates (SWBIs)
(2) Government Securities (SUN) and or
(3) securities or other charges as stipulated by Bank Indonesia.
Combined Transport B / L.
Is the B / L is used as proof of carriage of goods exports for the entire journey both by sea and by land. For example, exports of goods that were originally transported using ships and arriving at the port of destination followed by land transport / truck up to the final destination remains the responsibility of the shipping company that issued B / L is.
Comfort Letter.
Is a letter prepared by an accountant stating whether or not material facts occurring after the date of the last financial statements before the effective date until the Registration Statement which can lead to significant changes or endanger the financial position or results of operations as presented in the financial statements are attached as part of statement document Registration and contained in the Prospectus.
Comfort Letter addressed to Bapepam and the Underwriter, which minimally contains the following points:
1. Comfort Letter.
Date shows the ultimate limit liability of accountants in the implementation of inspection procedures commonly required in connection with the preparation of the Comfort Letter is a maximum of 14 days prior to the Registration Statement for a Public Offering shall be deemed effective. If there are material facts that could lead to significant changes or endanger the financial position or results of operations of the issuer, Bapepam may request an accountant to resubmit a Comfort Letter which covers the period from the previous letter of comfort until she gave the commencement of the offering period.
2. Introductory paragraph.
Contains:
(A) Statement that the accountant has conducted an audit of financial statements of the Issuer which is included as part of the Registration Statement
(B) A statement that the audited financial statements have been prepared in accordance with generally accepted accounting principles and accounting provisions in the Capital Market.
(C) A statement that the reporting accountant has been included in the Registration Statement
3. Para content:
o Statement of Independence accountant
o Compliance with generally accepted accounting principles and accounting provisions of capital market
o Compliance with the Public Accountants Professional Standards
o Statement of the procedure and the review of financial statements that are not audited
o Disclosure of exceptions to the Negative Assurance
o The statement about the procedure and the review after the date of the financial statements are unaudited interim until the date of the Comfort Letter.
o Statement of Pro Forma financial information
o A statement from the accountant regarding financial forecasts or projections
o A statement from an accountant about the suitability of the data public offering prospectus with audited financial statements an accountant.
o A statement from the accountant that in order to provide the above statements accountant has also conducted a review of the minutes of meetings of Directors, the Board of Commissioners, shareholders and other non-financial information relevant up to date comfort letter.
Commercial Documentary L / C.
Is the L / C for disbursement must be accompanied by commercial documents, including the shipping documents (B / L), invoices, bills, and so on according to Weigh list the details asked in the L / C is.
Commercial Invoice.
Commercial Invoice or commercial invoice or a so-called "invoice" course, a detailed memorandum about the price and volume of goods sold are made by the seller and addressed to the buyer.
Overdraft.
Is the provision of facilities beyond the withdrawal of an effective balance in a checking account, which has not made a credit agreement or exceeding the credit limit specified above based on the credit agreement. Another term is "Overdraft".
Intra-day overdrafts.
Is the provision of overdraft by the bank which closed at the end of the day (before the closing cash) so that customer account balances at the end of the day does not exceed the credit limit or do not cause the debit balance on account of intra-day giro.Cerukan unsuccessful closed on that day turned into overdraft (overdraft).
Continued to Part III
Banking Terms Based on the word / phrase from letter C (Part I/IV)
Banking Terms Based on the word / phrase from letter C (Part I/IV) :
Call Money.
Is the placement / borrowing short-term funds (in days) between banks. Bank call money is an instrument in overcoming the shortage or surplus funds of short-term temporary. For banks that put an Asset Call Money Bank, and for banks that accept placement of the Call Money is an obligation (debt or liabilities). Call money is recorded in the accounts between banks - "Claims on other banks' - for Assets and" other liabilities to the Bank "- for Liabilities.
BIS (Bank for International Settlements) Call Money defines as "the which a loan contract is automatically renewed everyday Unless the lender or the borrower That indicates it wishes the funds to be returned within the short period of time"
Call Option.
Is the placement of the right (but not the obligation) to buy something (assets, shares or a particular currency) at a time when that would come within the agreed period at a specified price and amount of time now (the moment of placing the right).
CAMELS (Capital Adequacy, Asset Quality, Management, Earning, Liquidity and Sensitivity to market risk).
Are the factors evaluated in the assessment of the soundness of banks, namely;
1. Capital Adequacy (Capital Adequacy) measured from the assessment of the components:
a) Adequacy, composition, and projected capital and the ability of capital to cover the Bank in troubled assets.
b) Ability to maintain bank needs additional capital from profits, Bank capital plan to support business growth, access to capital sources, and financial performance of the shareholders to increase the capital of the Bank.
2. Quality of Earning Assets (Asset Quality) includes assessment of the following components:
(A) The quality of productive assets, concentration of credit risk exposures, the development of earning assets and the adequacy of PPAP.
(B) Adequacy of policies and procedures, systems review (reviews) internal, system documentation and handling performance earning assets.
3. Management (Management), includes assessment of the following components:
a) Kualitasn general management and implementation of risk management
b) Compliance with the Bank to the applicable provisions and commitments to Bank Indonesia or other parties
4. Profitability (Earning), includes assessment of the following components:
(A) Achievement of return on assets (ROA), return on equity (ROE), net interest margin (NIM) and the level of bank efficiency.
(B) The development of operating income, income diversification, application of accounting principles in the recognition of revenues and expenses and operating profit outlook.
5. Liquidity (Liquidity), includes assessment of the following components
(A) The ratio of assets / liabilities of liquid, the potential maturity mismatch, the condition of the Loan to Deposit Ratio (LDR), cash flow projection, and the concentration of funding.
(B) Adequacy of policy and liquidity management (asset and liability management or ALMA), access to funding sources and funding stability.
6. Sensitivity to market risk (Sensitivity to market risk), includes assessment of the following components:
a) The ability of the Bank's capital to cover potential losses as a result of fluctuations (adverse movement) interest rates and exchange rates
b) Adequacy of risk management markets.
Cancelled Check.
Is a check that has been used and has been paid or have been recorded (debited) by the bank on the account in question. This check is a testament to the withdrawal of money / funds from the account in question and is the bank's archives. On some offshore bank, a copy of canceled check is sent back to the joint account holder with copies of newspaper accounts that berangkutan. In Indonesia it is not uncommon.
Capital Account.
This term is used in the context of macro economy, which is a measure of sales or purchases in the form of direct investment assets / direct investment (like buying a factory), or investment portfolio / portfolio investment (like buying stocks and bonds) in a country from / to foreigners ( other countries). If the state is in deficit on its current account, then inevitably have to look for ways to close the deficit, among other countries to sell assets to foreigners or borrowing from abroad, especially in the form of the state's bond sales to overseas parties. Sale of state assets and bonds to foreign countries in the capital account is managed.
Capital Gain.
Is an increase in the dollar value of a capital asset such as stocks, bonds, land, antiques or other assets that generate profits if the assets are sold.
Capital Loss.
Is the inverse of Capital Gains, which conducted the sale of shares held under the purchase price. For example the purchase price of a share of Rp. 26,000, - per sheet, then in certain circumstances be sold at a price of Rp. 23,000, - per sheet. Losses amounting to Rp. 3.000, - perlembar called Capital Loss.
Capital Lease (Lease purchase of capital goods).
Is the leasing of capital
Call Money.
BIS (Bank for International Settlements) Call Money defines as "the which a loan contract is automatically renewed everyday Unless the lender or the borrower That indicates it wishes the funds to be returned within the short period of time"
Call Option.
Is the placement of the right (but not the obligation) to buy something (assets, shares or a particular currency) at a time when that would come within the agreed period at a specified price and amount of time now (the moment of placing the right).
CAMELS (Capital Adequacy, Asset Quality, Management, Earning, Liquidity and Sensitivity to market risk).
Are the factors evaluated in the assessment of the soundness of banks, namely;
1. Capital Adequacy (Capital Adequacy) measured from the assessment of the components:
a) Adequacy, composition, and projected capital and the ability of capital to cover the Bank in troubled assets.
b) Ability to maintain bank needs additional capital from profits, Bank capital plan to support business growth, access to capital sources, and financial performance of the shareholders to increase the capital of the Bank.
2. Quality of Earning Assets (Asset Quality) includes assessment of the following components:
(A) The quality of productive assets, concentration of credit risk exposures, the development of earning assets and the adequacy of PPAP.
(B) Adequacy of policies and procedures, systems review (reviews) internal, system documentation and handling performance earning assets.
3. Management (Management), includes assessment of the following components:
a) Kualitasn general management and implementation of risk management
b) Compliance with the Bank to the applicable provisions and commitments to Bank Indonesia or other parties
4. Profitability (Earning), includes assessment of the following components:
(A) Achievement of return on assets (ROA), return on equity (ROE), net interest margin (NIM) and the level of bank efficiency.
(B) The development of operating income, income diversification, application of accounting principles in the recognition of revenues and expenses and operating profit outlook.
5. Liquidity (Liquidity), includes assessment of the following components
(A) The ratio of assets / liabilities of liquid, the potential maturity mismatch, the condition of the Loan to Deposit Ratio (LDR), cash flow projection, and the concentration of funding.
(B) Adequacy of policy and liquidity management (asset and liability management or ALMA), access to funding sources and funding stability.
6. Sensitivity to market risk (Sensitivity to market risk), includes assessment of the following components:
a) The ability of the Bank's capital to cover potential losses as a result of fluctuations (adverse movement) interest rates and exchange rates
b) Adequacy of risk management markets.
Cancelled Check.
Is a check that has been used and has been paid or have been recorded (debited) by the bank on the account in question. This check is a testament to the withdrawal of money / funds from the account in question and is the bank's archives. On some offshore bank, a copy of canceled check is sent back to the joint account holder with copies of newspaper accounts that berangkutan. In Indonesia it is not uncommon.
Capital Account.
This term is used in the context of macro economy, which is a measure of sales or purchases in the form of direct investment assets / direct investment (like buying a factory), or investment portfolio / portfolio investment (like buying stocks and bonds) in a country from / to foreigners ( other countries). If the state is in deficit on its current account, then inevitably have to look for ways to close the deficit, among other countries to sell assets to foreigners or borrowing from abroad, especially in the form of the state's bond sales to overseas parties. Sale of state assets and bonds to foreign countries in the capital account is managed.
Capital Gain.
Is an increase in the dollar value of a capital asset such as stocks, bonds, land, antiques or other assets that generate profits if the assets are sold.
Capital Loss.
Is the inverse of Capital Gains, which conducted the sale of shares held under the purchase price. For example the purchase price of a share of Rp. 26,000, - per sheet, then in certain circumstances be sold at a price of Rp. 23,000, - per sheet. Losses amounting to Rp. 3.000, - perlembar called Capital Loss.
Capital Lease (Lease purchase of capital goods).
Is the leasing of capital
Tuesday, August 16, 2011
Banking Terms Based on the word / phrase from letter B (Part III / end)
Banking Terms Based on the word / phrase from letter B (Part III / end) :
Bank Notes.
Banknotes (UangKertas Foreign / UKA).
The currency notes in the official foreign currency issued by a country outside of Indonesia that is recognized as legal tender, the country concerned (legal tender
Bank Operational I.
Bank is appointed by the Minister of Finance to manage revenues and expenditures that burden the State Treasury Account, in areas where there are no Bank Indonesia
Asian Development Bank (Asian Development Bank / ADB).
Is a multilateral financial development institutions (multilateral development financial institution) owned by 65 members, 47 from Asia and 18 others from around the world. The vision of the ADB is a region free of poverty. Its mission is to assist developing member countries reduce poverty and improve the quality of life of residents concerned member states.
Islamic Development Bank (Islamic Development Bank).
Is an international financial institution established under the 'Declaration of Intent "issued by the" Conference of Finance Ministers of Muslim Countries "in Jeddah on Dul Q'adah 1393 H (December 1993). Bank formally opened on 15 Shawwal 1395 H or October 20, 1975.
Bank Paying (Paying Bank).
Banks are making a payment to the recipient (beneficiary) upon submission of required documents in the Letter of Credit undocumented Domestic (SKBDN). (9). (Source: Bank Indonesia).
Financing Bank Rakyat Syariah (BPRS).
Islamic Banking is that the activity does not provide traffic services in the payment referred to in Law Number 21 Year 2008 on the previous Syariah.Istilah Banking is 'Sharia Rural Banks' (13). (Source: Bank Indonesia).
Banks accepting (Accepting Bank).
Acceptance is the Bank doing on notes undocumented Domestic Letters of Credit (SKBDN)
Sending bank (Remitting Bank).
Is a bank that sends the documents required in the Letter of Credit undocumented Domestic (SKBDN) to Bank Opening
Confirming Bank
Is confirmed Letter of Credit Bank undocumented Domestic (SKBDN) to bind themselves to pay, accept or transfer mergambil SKBDN draft drawn on it.
Transferor Bank (Transferring Bank).
Is the Bank at the request of Beneficiary (Beneficiary) implement the transfer of undocumented Domestic Letter of Credit (SKBDN), either wholly or partly to one or more other parties
Rural Banks (BPR).
Is a bank conducting business in the conventional or based on sharia principles in their activities do not provide payment services in the traffic.
Perception bank.
Is a bank designated by the Minister of Finance to accept the deposit of State receipts rather than in order to import, which includes tax revenue, domestic tax and non-tax state revenue.
Bank Limited.
Is the bank that all or at least 51% (fifty one percent) owned by the State
Central Bank (Central Bank).
Is a bank acting on behalf of "A State Government" with the right to issue currency for the country and are responsible in the management of money supply, interest rates and credit availability. Central Bank also manages foreign exchange reserves and exchange rates of currencies that State
Banks Take Over (BTO).
Banks dambil is over its management (controlled) by the Government. A Commercial Bank can be taken over when they have been using BLBI (Bank Indonesia Liquidity Assistance) exceeds 500% of paid up capital and use BLBI more than Rp. 2 trillion.
Interested banks.
Banks are obliged to make payments on notes drawn to him
Designated Banks (Nominated Bank).
Bank is authorized to make payment for performance, conduct acceptance of draft or negotiate (Negotiation).
Sole Bank.
Bank Indonesia was functioning as the manager of revenue and expenditure burden the State Treasury Account
Commercial Banks.
Is a bank conducting business in the conventional and or based on Sharia Principles in their activities providing payment services in the traffic
Basel II.
Is shorthand for "The New Basel Capital Accord" or "New Accord" recommended by the Basel Committee on Banking Supervision (BCBS), which is a committee of the Bank for International Settlements (BIS) based in Basel, Switzerland.
New Accord is a refinement of the July 1988 Agreement and its revision in 1996, which was formulated in 3 (three) pillars as follows:
Basel Committee (Basel Committee).
Is a committee of the Bank-Central Bank, the Bank or the supervisory authority of the State Banking Regulatory major industrialized nations who meet every 3 (three) months at the Bank for International Settlements in Basel. The committee co
Bank Notes.
Banknotes (UangKertas Foreign / UKA).
The currency notes in the official foreign currency issued by a country outside of Indonesia that is recognized as legal tender, the country concerned (legal tender
Bank Operational I.
Bank is appointed by the Minister of Finance to manage revenues and expenditures that burden the State Treasury Account, in areas where there are no Bank Indonesia
Asian Development Bank (Asian Development Bank / ADB).
Is a multilateral financial development institutions (multilateral development financial institution) owned by 65 members, 47 from Asia and 18 others from around the world. The vision of the ADB is a region free of poverty. Its mission is to assist developing member countries reduce poverty and improve the quality of life of residents concerned member states.
Islamic Development Bank (Islamic Development Bank).
Is an international financial institution established under the 'Declaration of Intent "issued by the" Conference of Finance Ministers of Muslim Countries "in Jeddah on Dul Q'adah 1393 H (December 1993). Bank formally opened on 15 Shawwal 1395 H or October 20, 1975.
Bank Paying (Paying Bank).
Banks are making a payment to the recipient (beneficiary) upon submission of required documents in the Letter of Credit undocumented Domestic (SKBDN). (9). (Source: Bank Indonesia).
Financing Bank Rakyat Syariah (BPRS).
Islamic Banking is that the activity does not provide traffic services in the payment referred to in Law Number 21 Year 2008 on the previous Syariah.Istilah Banking is 'Sharia Rural Banks' (13). (Source: Bank Indonesia).
Banks accepting (Accepting Bank).
Acceptance is the Bank doing on notes undocumented Domestic Letters of Credit (SKBDN)
Sending bank (Remitting Bank).
Is a bank that sends the documents required in the Letter of Credit undocumented Domestic (SKBDN) to Bank Opening
Confirming Bank
Is confirmed Letter of Credit Bank undocumented Domestic (SKBDN) to bind themselves to pay, accept or transfer mergambil SKBDN draft drawn on it.
Transferor Bank (Transferring Bank).
Is the Bank at the request of Beneficiary (Beneficiary) implement the transfer of undocumented Domestic Letter of Credit (SKBDN), either wholly or partly to one or more other parties
Rural Banks (BPR).
Is a bank conducting business in the conventional or based on sharia principles in their activities do not provide payment services in the traffic.
Perception bank.
Is a bank designated by the Minister of Finance to accept the deposit of State receipts rather than in order to import, which includes tax revenue, domestic tax and non-tax state revenue.
Bank Limited.
Is the bank that all or at least 51% (fifty one percent) owned by the State
Central Bank (Central Bank).
Is a bank acting on behalf of "A State Government" with the right to issue currency for the country and are responsible in the management of money supply, interest rates and credit availability. Central Bank also manages foreign exchange reserves and exchange rates of currencies that State
Banks Take Over (BTO).
Banks dambil is over its management (controlled) by the Government. A Commercial Bank can be taken over when they have been using BLBI (Bank Indonesia Liquidity Assistance) exceeds 500% of paid up capital and use BLBI more than Rp. 2 trillion.
Interested banks.
Banks are obliged to make payments on notes drawn to him
Designated Banks (Nominated Bank).
Bank is authorized to make payment for performance, conduct acceptance of draft or negotiate (Negotiation).
Sole Bank.
Bank Indonesia was functioning as the manager of revenue and expenditure burden the State Treasury Account
Commercial Banks.
Is a bank conducting business in the conventional and or based on Sharia Principles in their activities providing payment services in the traffic
Basel II.
Is shorthand for "The New Basel Capital Accord" or "New Accord" recommended by the Basel Committee on Banking Supervision (BCBS), which is a committee of the Bank for International Settlements (BIS) based in Basel, Switzerland.
New Accord is a refinement of the July 1988 Agreement and its revision in 1996, which was formulated in 3 (three) pillars as follows:
Basel Committee (Basel Committee).
Is a committee of the Bank-Central Bank, the Bank or the supervisory authority of the State Banking Regulatory major industrialized nations who meet every 3 (three) months at the Bank for International Settlements in Basel. The committee co
Banking Terms Based on the word / phrase from letter B (Part II)
Banking Terms Based on the word / phrase from letter B (Part II) :
Blue Chip.
Is the common stock (common stock) that has a good fundamental performance, as always posted a profit in recent years, have a good peertumbuhan, divide the dividend, has a reputation for good management and so on
BMT (Baitul Mal wa Tamwil).
Are financial institutions engaged in three areas, namely:
(1) As financial institutions in this regard to manage money with a revenue sharing scheme, buying and selling, ijaroh and other forms;
(2) is as an institution engaged in the business unit (real sector).
(3) Engaged in the social field by managing funds from zakat, infaq, shodaqoh waqf.
Bookbuilding.
Is SBSN sales activities to the Party through the selling agent, where the selling agent in the purchase order to collect a predetermined bidding period
BOPO (Operational Cost of Operational Income).
Is the ratio of Operating Expenses to Operating Income is calculated as a percentage. BOPO is a measure of operational efficiency of banks, in other words, the smaller the percentage could be considered the more efficient bank operations are concerned, contrary BOPO that exceeds 100% indicates that the bank is operational loss due to higher cost of revenues
BOT (Build-Operate-Transfer).
Is a pattern in the investment of a project in which foreign suppliers build and operate an installation / project is complete with operating profits earn rewards projects / installations during a certain period (or before it handed over to local firms) as payment for the cost of construction or installation project which issued by overseas suppliers
Bretton Woods.
Or better known as the Bretton Woods System, is a system of monetary management (monetary management) which sets the rules governing commercial and financial relations among the major industrial countries of the world. Bretton Woods System is a rule that is first agreed in regulating monetary relations among independent nation-states in order to rebuild the shattered world economy after World War II.
Bridging Finance.
Is financing the (temporary) conducted either by a bank or investor financing before the company acquires a more definite (fixed) on a stage in the provision of credit or financing a project. If Bridging Finance made by the bank, it must be repaid after the actual financing provided. If Bridghing Finance by investors, the recall of Bridging Finance by investors after the credit from the banks liquid, can only be done with certain requirements in accordance with the bank credit agreement. Another term often used for such financing is a 'mezzanine financing
Broker Bidding Limit.
Is the nominal amount per day from the bank approval to the broker to do his bidding or auction Securities and OMO transactions for and on behalf of the Bank. Broker Bidding Limit must be set in a separate agreement between the Bank and Broker with the format of the agreement submitted to each Member of the BI-SSSS as needed. Banks are required to make a confirmation letter to the broker bidding limit designated broker and designated broker shall submit a letter of confirmation to the Operator Transactions with Bank Indonesia.
Interest (Interest).
Is the price paid for the use of money for a certain period of time. Interest is set based on a certain percentage of money that is used with a period of one year (pa or per-annum). Another term commonly used is the "Interest".
Stock Exchange.
Is the party that organizes and provides a system or means of trading securities (securities). In the past (before 2007) there are two (2) Stock Exchange, the Jakarta Stock Exchange (JSX) and Surabaya Stock Exchange (SSX). Both are run by the Limited Liability Company, the Jakarta Stock Exchange and Surabaya Stock Exchange. Holders of shares of stock exchange brokers are (broker) members of the relevant stock exchanges which have been obtained Izan business as a Broker-Dealer.
Business Plan.
Is a work plan that at least the following:
1. Feasibility study on market opportunities and economic potential.
2. Plan activities include raising and fund distribution activities as well as steps to be taken in realizing the plan; and
3. Projected balance sheet, income statement and cash flow statements monthly for 12 months starting from the bank's operational activities.
Above business plan (for a period of one year) is one attachment in applying for license filing principle the establishment of new banks. (2). (Source: Bank Indonesia).
Business Continuity Management (BCM).
Is a component of significant operational risk management, a comprehensive business approach that includes policies, standards and sprosedur to believe that a certain operating activities (specific) can be maintained or restored within a reasonable time in case of an emergency / disaster (disruption). Its goal is to minimize the consequences material to the operational, financial, legal, reputational as a result of emergency / disaster (disruption) is.
Buyer's Credit.
Is a facility given to the importer (buyer's) provided by banks abroad to finance imports of goods originating from the state bank facilities overseas providers. This facility is an exporter of government programs in order to increase exports of the country concerned. In this facility, the importer gets the credit facility in the form of delayed payments for imports (import financing) with relatively lower mortgage interest because fundingnya from the outside than the mortgage interest to be funded from domestic
Buyout (in the purchase of shares).
Are purchases made by outside investors by controlling majority shareholding in a company / bank (more than 50%) and thus the buyer becomes the controlling ownership of the company. Mastery is also known as the Leverage Buyout (LBO). Another popular term for the same thing is acquisition or Takeover.
Blue Chip.
Is the common stock (common stock) that has a good fundamental performance, as always posted a profit in recent years, have a good peertumbuhan, divide the dividend, has a reputation for good management and so on
BMT (Baitul Mal wa Tamwil).
Are financial institutions engaged in three areas, namely:
(1) As financial institutions in this regard to manage money with a revenue sharing scheme, buying and selling, ijaroh and other forms;
(2) is as an institution engaged in the business unit (real sector).
(3) Engaged in the social field by managing funds from zakat, infaq, shodaqoh waqf.
Bookbuilding.
Is SBSN sales activities to the Party through the selling agent, where the selling agent in the purchase order to collect a predetermined bidding period
BOPO (Operational Cost of Operational Income).
Is the ratio of Operating Expenses to Operating Income is calculated as a percentage. BOPO is a measure of operational efficiency of banks, in other words, the smaller the percentage could be considered the more efficient bank operations are concerned, contrary BOPO that exceeds 100% indicates that the bank is operational loss due to higher cost of revenues
BOT (Build-Operate-Transfer).
Is a pattern in the investment of a project in which foreign suppliers build and operate an installation / project is complete with operating profits earn rewards projects / installations during a certain period (or before it handed over to local firms) as payment for the cost of construction or installation project which issued by overseas suppliers
Bretton Woods.
Or better known as the Bretton Woods System, is a system of monetary management (monetary management) which sets the rules governing commercial and financial relations among the major industrial countries of the world. Bretton Woods System is a rule that is first agreed in regulating monetary relations among independent nation-states in order to rebuild the shattered world economy after World War II.
Bridging Finance.
Is financing the (temporary) conducted either by a bank or investor financing before the company acquires a more definite (fixed) on a stage in the provision of credit or financing a project. If Bridging Finance made by the bank, it must be repaid after the actual financing provided. If Bridghing Finance by investors, the recall of Bridging Finance by investors after the credit from the banks liquid, can only be done with certain requirements in accordance with the bank credit agreement. Another term often used for such financing is a 'mezzanine financing
Broker Bidding Limit.
Is the nominal amount per day from the bank approval to the broker to do his bidding or auction Securities and OMO transactions for and on behalf of the Bank. Broker Bidding Limit must be set in a separate agreement between the Bank and Broker with the format of the agreement submitted to each Member of the BI-SSSS as needed. Banks are required to make a confirmation letter to the broker bidding limit designated broker and designated broker shall submit a letter of confirmation to the Operator Transactions with Bank Indonesia.
Interest (Interest).
Is the price paid for the use of money for a certain period of time. Interest is set based on a certain percentage of money that is used with a period of one year (pa or per-annum). Another term commonly used is the "Interest".
Stock Exchange.
Is the party that organizes and provides a system or means of trading securities (securities). In the past (before 2007) there are two (2) Stock Exchange, the Jakarta Stock Exchange (JSX) and Surabaya Stock Exchange (SSX). Both are run by the Limited Liability Company, the Jakarta Stock Exchange and Surabaya Stock Exchange. Holders of shares of stock exchange brokers are (broker) members of the relevant stock exchanges which have been obtained Izan business as a Broker-Dealer.
Business Plan.
Is a work plan that at least the following:
1. Feasibility study on market opportunities and economic potential.
2. Plan activities include raising and fund distribution activities as well as steps to be taken in realizing the plan; and
3. Projected balance sheet, income statement and cash flow statements monthly for 12 months starting from the bank's operational activities.
Above business plan (for a period of one year) is one attachment in applying for license filing principle the establishment of new banks. (2). (Source: Bank Indonesia).
Business Continuity Management (BCM).
Is a component of significant operational risk management, a comprehensive business approach that includes policies, standards and sprosedur to believe that a certain operating activities (specific) can be maintained or restored within a reasonable time in case of an emergency / disaster (disruption). Its goal is to minimize the consequences material to the operational, financial, legal, reputational as a result of emergency / disaster (disruption) is.
Buyer's Credit.
Is a facility given to the importer (buyer's) provided by banks abroad to finance imports of goods originating from the state bank facilities overseas providers. This facility is an exporter of government programs in order to increase exports of the country concerned. In this facility, the importer gets the credit facility in the form of delayed payments for imports (import financing) with relatively lower mortgage interest because fundingnya from the outside than the mortgage interest to be funded from domestic
Buyout (in the purchase of shares).
Are purchases made by outside investors by controlling majority shareholding in a company / bank (more than 50%) and thus the buyer becomes the controlling ownership of the company. Mastery is also known as the Leverage Buyout (LBO). Another popular term for the same thing is acquisition or Takeover.
Banking Terms Based on the word / phrase from letter B (Part I)
Banking Terms Based on the word / phrase from letter B (Part I) :
Back End Switch - ATM.
Is a computer term for one form of shared ATM networks, namely the position of the central computer switching companies were behind the computer center's member banks. The relationship between the units with the central computer ATM Switching Company is indirect through the mediation of the computer center of the member banks, so that not all transactions must go through a switch (switching company supports some of the bank's ATM network).
Back Office (The Back Office).
Is a unit of work on the Treasury Department of a bank that performs the function of management control over the implementation of market risk (Market Risk). Back Office separate from the Dealing Room and the need for separation of duties (segregation of duty) between the activities carried out staff view the Dealing Room Staff Back Office.
Back stop.
Is a kind of reserve funds that are only dalirkan if the risk occurs. Back stop is a form of cooperation between the government and the Asian Development Bank and Islamic Development Bank in order to support the implementation of assurance infrastructure in Indonesia. While this (November 2009) work together in order to back-stop is still under assessment. See also → PT Indonesia Infrastructure Assurance. (2).
Back to Back L / C.
Is the L / C opened by L / C the other in receiving, with details of goods, documents and requirements are exactly the same. The difference is only at the price of goods. Back to Back L / C is typically opened by intermediaries or agents who take advantage of price differences between the L / C received a price on the L / C is opened to the seller or a particular exporter
Back to back SKBDN.
SKBDN are two identical, except the price and shipping dates as well as the effective date of SKBDN. From the words "back to back" can be understood that the last published SKBDN SKBDN opened by others who have opened earlier, thereby supporting SKBDN SKBDN one another. SKBDN which has been opened previously become the basis for the opening back to back SKBDN, therefore SKBDN The first is called the basic or master SKBDN SKBDN.
Back Testing.
Backtests (test backwards) is a test performed to assess the accuracy of a model used to calculate market risk, ie by comparing the results of the realization of trade with the model developed from measurements of risk, both to evaluate a new model and to assess the accuracy of existing models. Although there is no single methodology for backtesting is set, the banks that use internal VaR models for capital adequacy in market risk, should do the backtest to model them periodically.
Banks should generally perform backtest models of risk on a monthly or quarterly to test the accuracy
Private-owned Enterprises (BUMS).
Badanusaha is not included within the meaning of SOEs and enterprises, based in Indonesia and Indonesia and foreign legal entities
Ba'i Al-Dayn.
Islamic banking is a term for buying and selling debt refers to debt financing. In this principle is based on buying and selling financing and trade financing documents used for the purpose of spending, trade and perkhidmatan. Only documents actually show that the trade transaction is the real deal, should diniagakan. Customer who has received from the sale of facilities of Islamic banks will issue debentures (Promissory Notes), while Islamic banks themselves can not issue bonds, then the letter of Promissory Notes client and the underlying transactions diendos to receive funding from conventional banks
Balance Score Card.
Is a method developed by Robert Kaplan (Harvard Business School) and David Norton in the early 1990s. With the Balance score card in the identified deficiencies are kelemehan previous management systems approach, where the Balance Score Card provides a clear prescription about the things what needs to be measured to balance the financial perspective (financial perspective).
Balance Score Card is a management system (not just a measurement system) that enables organizations to clarify vision and strategy and translate them into action (action
Bancassurance.
The insurance company is a joint marketing through cooperation with banks.
Bancassurance
Bank.
Is an entity that collects funds from the public in the form of savings and channel them to the public in the form of loans and other forms or forms in order to improve the living standard of the people.
Agent Bank.
Is a bank acting on behalf of all members of the syndicate of banks in their dealings with customers regarding the provision of a syndicated loan made to the customer
Frozen Bank Operations (BBKU).
Banks that are suspended business activities by Bank Indonesia and subsequently handed over to IBRA for the purpose of settlement of obligations of banks through the Government Guarantee Program, the completion of employees' rights and efforts to refund the State
Frozen Bank Operations (BBO).
Are commercial banks by Bank Indonesia suspended its operations. A bank can be frozen so BBO if the bank has adopted the Bank Indonesia Liquidity Assistance (BLBI) exceeds 75% of its assets and have used BLBI exceed 500% of the fully paid capital
Problem Bank.
Banks are experiencing financial difficulties in the form of liquidity difficulties and / or difficulties that endanger its solvency.
Mixed Bank.
Banks was established jointly by one or more commercial banks domiciled in Indonesia and was founded by Indonesian citizens and / or Indonesian legal entities wholly owned by Indonesian citizens, with one or more banks domiciled abroad
Bank in Liquidation.
Banks are already license has been revoked by the LPP (Institute of Banking Supervisors) and within the framework of the settlement assets and obligations, the Bank declared a bank in liquidation by LPS (LPS). Furthermore, the Bank conducted by the Liquidation Team Likuidasinya formed by LPS according to conditions set by LPS. See → "Liquidation of Banks" and "Team Bank Liquidation
Bank Under Special Surveillance.
Banks are having solvency problems of the CAR below 8% and the liquidity problem that has a reserve requirement ratio in dollars less than the Statutory Minimum Bank established by the deteriorating developments in a short period of time or based on the assessment of Bank Indonesia has a fundamental problem of liquidity.
Foreign exchange banks.
Is a bank that obtained the appointment by Bank Indonesia to conduct banking business in Foreign Exchange
Bank Foreign Exchange Perception.
Are foreign banks that accept deposits in order to import State
Bank Draft.
Is the Draft (draft) issued in the name of the bank where the attraction is its own issuer bank. Draft bank serves as a means of sending money and can be redeemable at a designated bank and apply only on behalf of the holders listed in the draft or money order. Other terms are Wesel Bank.
Banker's Acceptance.
Is the ability to bank statements (acceptance) are realized in the form of signatures as the bank officials are interested in the face of the money order / draft or letter of acceptors / promissory note to pay a sum of money according to the nominal money orders / drafts, letters acceptors / promissory note on its maturity date. Acceptance can be implemented by including the words "Accepted" or words that mean the same. The signing must be done on the front of the Bills, to distinguish it from endorsements
Bankers Clause (Clause Banker).
Is a statement or clause in an insurance policy, that in case of payment of claims, then the claim will be paid to the insured through the insured bank. Insured banks were mostly bank lending to the insured that covers the insurance on the collateral (Main and / or Additional) of the insured property. (6)
(Source: Banking Practice)
Bank for International Settlements (BIS - Basel, Switzerland).
Is the oldest international financial institution that currently constitute the main center of international central bank cooperation. The history of the BIS was established in the framework of the "Young Plan" in 1930. In general, BIS develop cooperation between the Central Bank in order to achieve monetary and financial system is stable.
Bank Guarantee.
Is a guarantee from the bank that the bank will pay a certain amount of money to the recipient if the party is guaranteed warranty breach of contract (default).
Banking Book.
Are all elements or other positions not included in the Trading Book. (3) → See the Trading Book.
Anchor Bank (Anchor Bank).
Banks with good performance are eligible
i. Bank has the capacity to grow and develop properly, supported by strong capital and stable and have the ability to absorb risk and support business activities. This is reflected in the minimum CAR of 12% and a minimum core capital ratio (tier 1) 6%.
ii. Banks also have the ability to grow on an ongoing basis as reflected in the profitability of good .. This is reflected in the ratios Return on Assets (ROA) of at least 1.5%.
iii. Bank's role in supporting the functions of banking intermediation in order to promote national economic development terceermin of growth of credit expansion dengtan still consider the precautionary principle. The growth in credit expansion in real terms the minimum of 22% a year or LDR minimum of 50% and non-performing loan ratio below 5% (net).
iv. Banks have
Back End Switch - ATM.
Is a computer term for one form of shared ATM networks, namely the position of the central computer switching companies were behind the computer center's member banks. The relationship between the units with the central computer ATM Switching Company is indirect through the mediation of the computer center of the member banks, so that not all transactions must go through a switch (switching company supports some of the bank's ATM network).
Is a unit of work on the Treasury Department of a bank that performs the function of management control over the implementation of market risk (Market Risk). Back Office separate from the Dealing Room and the need for separation of duties (segregation of duty) between the activities carried out staff view the Dealing Room Staff Back Office.
Back stop.
Is a kind of reserve funds that are only dalirkan if the risk occurs. Back stop is a form of cooperation between the government and the Asian Development Bank and Islamic Development Bank in order to support the implementation of assurance infrastructure in Indonesia. While this (November 2009) work together in order to back-stop is still under assessment. See also → PT Indonesia Infrastructure Assurance. (2).
Back to Back L / C.
Is the L / C opened by L / C the other in receiving, with details of goods, documents and requirements are exactly the same. The difference is only at the price of goods. Back to Back L / C is typically opened by intermediaries or agents who take advantage of price differences between the L / C received a price on the L / C is opened to the seller or a particular exporter
Back to back SKBDN.
SKBDN are two identical, except the price and shipping dates as well as the effective date of SKBDN. From the words "back to back" can be understood that the last published SKBDN SKBDN opened by others who have opened earlier, thereby supporting SKBDN SKBDN one another. SKBDN which has been opened previously become the basis for the opening back to back SKBDN, therefore SKBDN The first is called the basic or master SKBDN SKBDN.
Back Testing.
Backtests (test backwards) is a test performed to assess the accuracy of a model used to calculate market risk, ie by comparing the results of the realization of trade with the model developed from measurements of risk, both to evaluate a new model and to assess the accuracy of existing models. Although there is no single methodology for backtesting is set, the banks that use internal VaR models for capital adequacy in market risk, should do the backtest to model them periodically.
Banks should generally perform backtest models of risk on a monthly or quarterly to test the accuracy
Private-owned Enterprises (BUMS).
Badanusaha is not included within the meaning of SOEs and enterprises, based in Indonesia and Indonesia and foreign legal entities
Ba'i Al-Dayn.
Islamic banking is a term for buying and selling debt refers to debt financing. In this principle is based on buying and selling financing and trade financing documents used for the purpose of spending, trade and perkhidmatan. Only documents actually show that the trade transaction is the real deal, should diniagakan. Customer who has received from the sale of facilities of Islamic banks will issue debentures (Promissory Notes), while Islamic banks themselves can not issue bonds, then the letter of Promissory Notes client and the underlying transactions diendos to receive funding from conventional banks
Balance Score Card.
Is a method developed by Robert Kaplan (Harvard Business School) and David Norton in the early 1990s. With the Balance score card in the identified deficiencies are kelemehan previous management systems approach, where the Balance Score Card provides a clear prescription about the things what needs to be measured to balance the financial perspective (financial perspective).
Balance Score Card is a management system (not just a measurement system) that enables organizations to clarify vision and strategy and translate them into action (action
Bancassurance.
The insurance company is a joint marketing through cooperation with banks.
Bancassurance
Bank.
Is an entity that collects funds from the public in the form of savings and channel them to the public in the form of loans and other forms or forms in order to improve the living standard of the people.
Agent Bank.
Is a bank acting on behalf of all members of the syndicate of banks in their dealings with customers regarding the provision of a syndicated loan made to the customer
Frozen Bank Operations (BBKU).
Banks that are suspended business activities by Bank Indonesia and subsequently handed over to IBRA for the purpose of settlement of obligations of banks through the Government Guarantee Program, the completion of employees' rights and efforts to refund the State
Frozen Bank Operations (BBO).
Are commercial banks by Bank Indonesia suspended its operations. A bank can be frozen so BBO if the bank has adopted the Bank Indonesia Liquidity Assistance (BLBI) exceeds 75% of its assets and have used BLBI exceed 500% of the fully paid capital
Problem Bank.
Banks are experiencing financial difficulties in the form of liquidity difficulties and / or difficulties that endanger its solvency.
Mixed Bank.
Banks was established jointly by one or more commercial banks domiciled in Indonesia and was founded by Indonesian citizens and / or Indonesian legal entities wholly owned by Indonesian citizens, with one or more banks domiciled abroad
Bank in Liquidation.
Banks are already license has been revoked by the LPP (Institute of Banking Supervisors) and within the framework of the settlement assets and obligations, the Bank declared a bank in liquidation by LPS (LPS). Furthermore, the Bank conducted by the Liquidation Team Likuidasinya formed by LPS according to conditions set by LPS. See → "Liquidation of Banks" and "Team Bank Liquidation
Bank Under Special Surveillance.
Banks are having solvency problems of the CAR below 8% and the liquidity problem that has a reserve requirement ratio in dollars less than the Statutory Minimum Bank established by the deteriorating developments in a short period of time or based on the assessment of Bank Indonesia has a fundamental problem of liquidity.
Foreign exchange banks.
Is a bank that obtained the appointment by Bank Indonesia to conduct banking business in Foreign Exchange
Bank Foreign Exchange Perception.
Are foreign banks that accept deposits in order to import State
Bank Draft.
Is the Draft (draft) issued in the name of the bank where the attraction is its own issuer bank. Draft bank serves as a means of sending money and can be redeemable at a designated bank and apply only on behalf of the holders listed in the draft or money order. Other terms are Wesel Bank.
Banker's Acceptance.
Is the ability to bank statements (acceptance) are realized in the form of signatures as the bank officials are interested in the face of the money order / draft or letter of acceptors / promissory note to pay a sum of money according to the nominal money orders / drafts, letters acceptors / promissory note on its maturity date. Acceptance can be implemented by including the words "Accepted" or words that mean the same. The signing must be done on the front of the Bills, to distinguish it from endorsements
Bankers Clause (Clause Banker).
Is a statement or clause in an insurance policy, that in case of payment of claims, then the claim will be paid to the insured through the insured bank. Insured banks were mostly bank lending to the insured that covers the insurance on the collateral (Main and / or Additional) of the insured property. (6)
(Source: Banking Practice)
Bank for International Settlements (BIS - Basel, Switzerland).
Is the oldest international financial institution that currently constitute the main center of international central bank cooperation. The history of the BIS was established in the framework of the "Young Plan" in 1930. In general, BIS develop cooperation between the Central Bank in order to achieve monetary and financial system is stable.
Bank Guarantee.
Is a guarantee from the bank that the bank will pay a certain amount of money to the recipient if the party is guaranteed warranty breach of contract (default).
Banking Book.
Are all elements or other positions not included in the Trading Book. (3) → See the Trading Book.
Anchor Bank (Anchor Bank).
Banks with good performance are eligible
i. Bank has the capacity to grow and develop properly, supported by strong capital and stable and have the ability to absorb risk and support business activities. This is reflected in the minimum CAR of 12% and a minimum core capital ratio (tier 1) 6%.
ii. Banks also have the ability to grow on an ongoing basis as reflected in the profitability of good .. This is reflected in the ratios Return on Assets (ROA) of at least 1.5%.
iii. Bank's role in supporting the functions of banking intermediation in order to promote national economic development terceermin of growth of credit expansion dengtan still consider the precautionary principle. The growth in credit expansion in real terms the minimum of 22% a year or LDR minimum of 50% and non-performing loan ratio below 5% (net).
iv. Banks have
Banking Terms Based on the word / phrase from letter A (Part IV / End)
Banking Terms Based on the word / phrase from letter A (Part IV / End) :
Automated Teller Machine (ATM / Automatic Teller Machine).
(1) is the activity of cash that is done electronically to facilitate customers, among others, in order to withdraw or deposit in cash, or make a payment through the transfer of the books or obtain information on customer account balances or mutation. (10)
(2) In terms of Information Technology Systems, an ATM is one type of terminal or computer system used by banks, which is connected to other computers via the data communication that allows one bank customer can store and retrieve money dibank, or conduct other transactions without human assistance .
Anti Money Laundering (APU) and the Prevention of Terrorism Financing (PPT).
Is the prevention and eradication of money laundering and terrorism financing. Banks are required to apply the APU program and PPT.
In the application of APU and PPT programs, the Bank shall be guided by the provisions stipulated in Bank Indonesia Regulation. APU and PPT Program is part of the application of Bank's overall risk management.
Credit Application.
Is proposed credit to customers of the bank branch to its Central Office which contain a credit analysis, credit limit of the proposed requirements and recommendations of the branch. Credit applications filed in accordance kewenagan credit authority decided that the Central Office shall be submitted to Head Office and Regional Offices the authority of credit filed with the Regional Office. Credit Analysis of the authority of the Head of Bank Branch Analysis Memorandum prepared in the same function with the credit application.
SSSS Terminal application (Applications ST).
Is the application of a computer system at the BI-SSSS consisting of ABS (Automatic Bidding System) to conduct transactions with Bank Indonesia, SSTS to perform settlement of securities transactions in the secondary market, the supervisory function, among others, to apply for funding of Bank Indonesia and the Enquiry to view Securities and position information
Applicant (Petitioner).
Is a person or customer who submitted something to the bank, generally the term is used in foreign exchange transactions such as foreign currency transfer request, the request of Bank Guarantee currency, opening of L / C import, and so on. To request the opening of L / C import is often also used the word "opener" in lieu of the importer. The term is also used for transactions in the L / C Letter of Credit Local or undocumented Domestic (SKBDN) (9)
(Source: Banking Practice)
APT (Deed Granting Dependant).
Is the owner or director of corporate security for the debts of
Automated Teller Machine (ATM / Automatic Teller Machine).
(1) is the activity of cash that is done electronically to facilitate customers, among others, in order to withdraw or deposit in cash, or make a payment through the transfer of the books or obtain information on customer account balances or mutation. (10)
(2) In terms of Information Technology Systems, an ATM is one type of terminal or computer system used by banks, which is connected to other computers via the data communication that allows one bank customer can store and retrieve money dibank, or conduct other transactions without human assistance .
Anti Money Laundering (APU) and the Prevention of Terrorism Financing (PPT).
Is the prevention and eradication of money laundering and terrorism financing. Banks are required to apply the APU program and PPT.
In the application of APU and PPT programs, the Bank shall be guided by the provisions stipulated in Bank Indonesia Regulation. APU and PPT Program is part of the application of Bank's overall risk management.
Credit Application.
Is proposed credit to customers of the bank branch to its Central Office which contain a credit analysis, credit limit of the proposed requirements and recommendations of the branch. Credit applications filed in accordance kewenagan credit authority decided that the Central Office shall be submitted to Head Office and Regional Offices the authority of credit filed with the Regional Office. Credit Analysis of the authority of the Head of Bank Branch Analysis Memorandum prepared in the same function with the credit application.
SSSS Terminal application (Applications ST).
Is the application of a computer system at the BI-SSSS consisting of ABS (Automatic Bidding System) to conduct transactions with Bank Indonesia, SSTS to perform settlement of securities transactions in the secondary market, the supervisory function, among others, to apply for funding of Bank Indonesia and the Enquiry to view Securities and position information
Applicant (Petitioner).
Is a person or customer who submitted something to the bank, generally the term is used in foreign exchange transactions such as foreign currency transfer request, the request of Bank Guarantee currency, opening of L / C import, and so on. To request the opening of L / C import is often also used the word "opener" in lieu of the importer. The term is also used for transactions in the L / C Letter of Credit Local or undocumented Domestic (SKBDN) (9)
(Source: Banking Practice)
APT (Deed Granting Dependant).
Is the owner or director of corporate security for the debts of
Thursday, August 11, 2011
Banking Terms Based on the word / phrase from letter A (Part III)
Banking Terms Based on the word / phrase from letter A (Part III) :
Acquisition.
Is the takeover of ownership of a bank
Public Accountants.
Is an accountant who has a business license to conduct audits of service issued by Ministry of Finance.
Alamiyah.
Is a conception of Islamic banking on something that can be done and accepted by, with and for all interested parties (stakeholders) without distinction of race, religion, race and class, in accordance with the spirit of the universe kerahmatan (rahmatan lil alamin).
ALCO (Asset and Liability Committee).
Is an institution in the organization of commercial banks to support the effective implementation of Asset and Liability Management (ALMA)
ALCO policy coverage includes:
(A) A description of the responsibilities, frequency of ALCO meetings, and membership ALCO
(B) A description of the reporting lines between the ALCO and the Board of Directors
(C) A description of the fund investment strategy
(D) hedging strategy
(E) funding strategy
(F) Pricing strategy
(G) The management of interest rate risk
ALMA (Asset and Liability Management).
Management of Asset and Liability Management is one of the processes of risk management at Commercial Bank. ALMA Bank apply to carry out the functions of control interest rate risk, exchange risk, and risk likiditas. To support the effective implementation of ALMA, the bank formed Asset and Liability Committee (ALCO) which is adapted to scale the organization committee with the volume and complexity of banking transaction relating to the implementation of ALMA.
ALCO consists of members of the field of credit, treasury, funding is authorized and relevant Directors.
All Risks.
Insurance coverage is a term in which the Penganggung / insurer shall provide compensation for any loss or physical damage to goods caused by factors outside without looking at the percentage. Closure of this risk is as a continuation of the closure of WA and does not cover the risks due to war, strikes riots, seizure, detention and other risks that are not included in the FC & S (Free of Capture and seizure = Collateral free from arrest and foreclosure) and SR & CC (Strikes, Riots and Civil Commotion) and Warranty (Guarantee free of strikes, riots and noises) but these risks are specifically agreed upon. This type of insurance coverage is widely used for valuables and luxury goods and motor vehicles.
Al-Qard.
Is a contract of loan (funds) to the customer provided that the customer must return the funds it receives to the Islamic Financial Institutions (LKS) on time as agreed by the LKS and customer.
Al-Qard embodies the addition worksheets as well as the Commercial Institute of Social Institutions that can boost the economy to the fullest.
Al - Sharf (Offers to buy the currency).
Is buying and selling currencies based on sharia principles that should be done with the following conditions:
Type of transaction
(1) Spot Transaction.
Namely the purchase and sale of foreign currency for delivery at the time (over the counter) or a settlement at the latest within a period of 2 (two) days.
(2) Forward Transaction.
Namely the purchase and sale transactions whose value is set at the present time and the enactment for the future, between 2 x 24 hours up to one year.
(3) Swap Transactions.
That is a contract of purchase or sale of spot foreign exchange at a price which, combined with the purchase of sale of foreign currency equal to the price forward.
(4) Transaction Option.
That is a contract to acquire rights in order to buy or sell the rights for which must not be made on a number of units of foreign currency on the price and time period or a specific end date.
Earning Assets.
Are all assets in rupiah and foreign currency held by banks with a view to earn income, which includes:
1. Loans.
2. Securities.
3. Placement of funds with other banks, both domestic and foreign investment except in the form of demand.
4. Acceptances receivable, receivables for securities purchased under agreement to resell (reserve purchase agreement), Derivative,
5. Investments.
6. Balance sheet items, as well as other forms of provision of funds which can be equated with that
Earning Assets Classified (APD).
Assets are either already or that contain potential no earnings or result in losses, which amount shall be as follows:
(A) 25% (twenty five percent) of credit is classified as Special (special mention); and
(B) 50% (fifty percent) of loans classified as Substandard (sub standard); and
(C) 75% (seventy five percent) of credit is classified Doubtful (Doubtful); and
(D) 100% (hundred percent) of loans classified as Loss (Loss) are still recorded in the books of banks and securities classified as Loss
Payment.
Payment instrument is a specific unit that has a value of payment known as money. Money is one of the main payment instrument in force in the community. Furthermore, the means of payment continues to evolve from a means of payment in cash (cash based) to a non-cash means of payment (non cash) such as paper-based payment instruments (paper based), for example, checks and demand deposit. Also known paperless means of payment such as electronic funds transfer and payment using the card (card-based) (ATM, Credit Cards, Debit and Prepaid Cards)
Card Based Payment Instrument.
Is a means of payment in the form of a credit card, Automated Teller Machine (ATM), debit cards and / or prepaid cards
Non-cash payment instrument.
Non-cash means of payment is a payment instrument commonly used community, banks and institutions other than banks (LSB), both in the process of transferring funds, clearing and settlement system of the final (settlement). Non-cash payment instruments already developed and increasingly prevalent. Currently non-cash payment transactions with a value of Bank Indonesia conducted through the BI-RTGS (Real Time Gross Settlement) and the Clearing System. For information, the BI-RTGS system is the estuary of the entire settlement of financial transactions in Indonesia. People who used to wear non-cash means of payment referred to as' Less Cash Society (LCS).
Acquisition.
Is the takeover of ownership of a bank
Public Accountants.
Is an accountant who has a business license to conduct audits of service issued by Ministry of Finance.
Alamiyah.
Is a conception of Islamic banking on something that can be done and accepted by, with and for all interested parties (stakeholders) without distinction of race, religion, race and class, in accordance with the spirit of the universe kerahmatan (rahmatan lil alamin).
ALCO (Asset and Liability Committee).
Is an institution in the organization of commercial banks to support the effective implementation of Asset and Liability Management (ALMA)
ALCO policy coverage includes:
(A) A description of the responsibilities, frequency of ALCO meetings, and membership ALCO
(B) A description of the reporting lines between the ALCO and the Board of Directors
(C) A description of the fund investment strategy
(D) hedging strategy
(E) funding strategy
(F) Pricing strategy
(G) The management of interest rate risk
ALMA (Asset and Liability Management).
Management of Asset and Liability Management is one of the processes of risk management at Commercial Bank. ALMA Bank apply to carry out the functions of control interest rate risk, exchange risk, and risk likiditas. To support the effective implementation of ALMA, the bank formed Asset and Liability Committee (ALCO) which is adapted to scale the organization committee with the volume and complexity of banking transaction relating to the implementation of ALMA.
ALCO consists of members of the field of credit, treasury, funding is authorized and relevant Directors.
All Risks.
Insurance coverage is a term in which the Penganggung / insurer shall provide compensation for any loss or physical damage to goods caused by factors outside without looking at the percentage. Closure of this risk is as a continuation of the closure of WA and does not cover the risks due to war, strikes riots, seizure, detention and other risks that are not included in the FC & S (Free of Capture and seizure = Collateral free from arrest and foreclosure) and SR & CC (Strikes, Riots and Civil Commotion) and Warranty (Guarantee free of strikes, riots and noises) but these risks are specifically agreed upon. This type of insurance coverage is widely used for valuables and luxury goods and motor vehicles.
Al-Qard.
Is a contract of loan (funds) to the customer provided that the customer must return the funds it receives to the Islamic Financial Institutions (LKS) on time as agreed by the LKS and customer.
Al-Qard embodies the addition worksheets as well as the Commercial Institute of Social Institutions that can boost the economy to the fullest.
Al - Sharf (Offers to buy the currency).
Is buying and selling currencies based on sharia principles that should be done with the following conditions:
Type of transaction
(1) Spot Transaction.
Namely the purchase and sale of foreign currency for delivery at the time (over the counter) or a settlement at the latest within a period of 2 (two) days.
(2) Forward Transaction.
Namely the purchase and sale transactions whose value is set at the present time and the enactment for the future, between 2 x 24 hours up to one year.
(3) Swap Transactions.
That is a contract of purchase or sale of spot foreign exchange at a price which, combined with the purchase of sale of foreign currency equal to the price forward.
(4) Transaction Option.
That is a contract to acquire rights in order to buy or sell the rights for which must not be made on a number of units of foreign currency on the price and time period or a specific end date.
Earning Assets.
Are all assets in rupiah and foreign currency held by banks with a view to earn income, which includes:
1. Loans.
2. Securities.
3. Placement of funds with other banks, both domestic and foreign investment except in the form of demand.
4. Acceptances receivable, receivables for securities purchased under agreement to resell (reserve purchase agreement), Derivative,
5. Investments.
6. Balance sheet items, as well as other forms of provision of funds which can be equated with that
Earning Assets Classified (APD).
Assets are either already or that contain potential no earnings or result in losses, which amount shall be as follows:
(A) 25% (twenty five percent) of credit is classified as Special (special mention); and
(B) 50% (fifty percent) of loans classified as Substandard (sub standard); and
(C) 75% (seventy five percent) of credit is classified Doubtful (Doubtful); and
(D) 100% (hundred percent) of loans classified as Loss (Loss) are still recorded in the books of banks and securities classified as Loss
Payment.
Payment instrument is a specific unit that has a value of payment known as money. Money is one of the main payment instrument in force in the community. Furthermore, the means of payment continues to evolve from a means of payment in cash (cash based) to a non-cash means of payment (non cash) such as paper-based payment instruments (paper based), for example, checks and demand deposit. Also known paperless means of payment such as electronic funds transfer and payment using the card (card-based) (ATM, Credit Cards, Debit and Prepaid Cards)
Card Based Payment Instrument.
Is a means of payment in the form of a credit card, Automated Teller Machine (ATM), debit cards and / or prepaid cards
Non-cash payment instrument.
Non-cash means of payment is a payment instrument commonly used community, banks and institutions other than banks (LSB), both in the process of transferring funds, clearing and settlement system of the final (settlement). Non-cash payment instruments already developed and increasingly prevalent. Currently non-cash payment transactions with a value of Bank Indonesia conducted through the BI-RTGS (Real Time Gross Settlement) and the Clearing System. For information, the BI-RTGS system is the estuary of the entire settlement of financial transactions in Indonesia. People who used to wear non-cash means of payment referred to as' Less Cash Society (LCS).
Banking Terms Based on the word / phrase from letter A (Part II)
Banking Terms Based on the word / phrase from letter A (Part II) :
Air Way Bill.
Air freight is a document that serves as a contract of carriage of goods and proof of delivery of goods only and not an ownership document.
Akad (On Islamic banks).
Is a written agreement containing consent (offer) and qabul (acceptance) between banks and other parties that contains the rights and obligations of each party in accordance with Islamic principles.
Akad Eve.
Akad diversion is from those who owe debts to other parties who shall assume or pay.
Akad Ijara.
Akad is providing funds in order to transfer use rights or benefits of a good or service based on leasing transactions, without being followed by transfer of ownership of the goods themselves
Akad ijarah muntahiya bittamlik.
Akad is providing funds in order to transfer use rights or benefits of a good or service based on leasing transactions with an option of transfer of ownership of goods.
Akad Istishna.
Akad Financing is ordering the manufacture of goods in the form of certain goods with certain criteria and conditions agreed between the buyer or the buyer (mustashni ') and the seller or manufacturer (shani')
Akad Kafalah.
Akad bail is granted one party to another, in which the collateral giver (kafil) responsible for the repayment of debts which are entitled to receiving assurance (makful
Akad loans or credit agreements.
Is agreement between banks and borrowers on lending by banks to borrowers which include the amount of credit, the duration of the loan, interest rates, the guarantees given, obligations of the debtor in payment of principal and interest, fines and other requirements. (
'Akad mudaraba' in collecting funds.
Akad is the first cooperation between the parties (malik, Shahibul mall, or Customer) as the owner of the funds and the second ('amyl, mudharib, or Islamic Bank) acting as manager of the fund by dividing the profits in accordance with the agreements set forth in the contract
'Akad mudaraba' in Financing.
Akad
Air Way Bill.Air freight is a document that serves as a contract of carriage of goods and proof of delivery of goods only and not an ownership document.
Akad (On Islamic banks).
Is a written agreement containing consent (offer) and qabul (acceptance) between banks and other parties that contains the rights and obligations of each party in accordance with Islamic principles.
Akad Eve.
Akad diversion is from those who owe debts to other parties who shall assume or pay.
Akad Ijara.
Akad is providing funds in order to transfer use rights or benefits of a good or service based on leasing transactions, without being followed by transfer of ownership of the goods themselves
Akad ijarah muntahiya bittamlik.
Akad is providing funds in order to transfer use rights or benefits of a good or service based on leasing transactions with an option of transfer of ownership of goods.
Akad Istishna.
Akad Financing is ordering the manufacture of goods in the form of certain goods with certain criteria and conditions agreed between the buyer or the buyer (mustashni ') and the seller or manufacturer (shani')
Akad Kafalah.
Akad bail is granted one party to another, in which the collateral giver (kafil) responsible for the repayment of debts which are entitled to receiving assurance (makful
Akad loans or credit agreements.
Is agreement between banks and borrowers on lending by banks to borrowers which include the amount of credit, the duration of the loan, interest rates, the guarantees given, obligations of the debtor in payment of principal and interest, fines and other requirements. (
'Akad mudaraba' in collecting funds.
Akad is the first cooperation between the parties (malik, Shahibul mall, or Customer) as the owner of the funds and the second ('amyl, mudharib, or Islamic Bank) acting as manager of the fund by dividing the profits in accordance with the agreements set forth in the contract
'Akad mudaraba' in Financing.
Akad
Banking Terms Based on the word / phrase from letter A
Accounts Officer.
Is a bank officer (general staff employees) who deal with matters relating to fundraising activities or the provision of credit. Since the task is directly related to the Loan Officer Marketing activities, often used other terms such as Marketing Officer or Marketing staff. Accounts Officer in charge of credit is often called the Loan Officer.
Account officers typically handle or serve specific customers are fixed in a certain period. Thus the relevant know the needs or characteristics / special things to note about the accounts of certain clients
Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI).
Islam is an international non-profit agency otonon that provide standard accounting, auditing, governance and Shariah for Islamic financial institutions.
AAOIFI was established under an agreement signed by Islamic financial institutions (Islamic financial institution) at 1 Safar 1410 H (February 26, 1990) in Algeria and Bahrain Country tedaftar on the 11th of Ramadan 1411 H (March 27, 1991).
AAOIFI Objectives:
1. Develop accounting, auditing, governance and ethics related to the activities of Islamic financial institutions taking into account international practices and standards in accordance with the laws of Shariah.
2. Promulgate accounting, auditing, governance and ethics relating to the activities of Islamic financial institutions and practices through training / seminars, regular publications, preparation of reports and other means.
3. Harmonization of accounting policies and procedures adopted by Islamic financial institutions through the preparation and publication of standards that are interpreted equally by those institutions.
4. Improving the quality and uniformity of auditing practices and governance related to premises activities of Islamic financial institutions through the preparation and issuance of auditing standards and governance diiterpretasikan equally by the agency.
5. Improving practices good ethics associated with Islamic financial institutions through the preparation and publication of 'Code of Ethics' for these institutions.
6. Seek similarity and conformity to the concepts and applications among agencies "Supervisor Sharia" Islamic financial institutions in order to avoid contradictions and inconsistencies between the fatwa and implementation.
Akad Wadi'ah.
Are Akad care goods or money between parties who have goods or money and those entrusted with the aim to maintain the safety, security, and integrity of goods or money
ACFTA (ASEAN - China Free Trade Agreement).
Also called China Asean Free Trade Agreement, is the cooperation of six member states of ASEAN, namely Indonesia, Thailand, Malaysia, Singapore, and Brunei Darussalam Filipinos on one hand and China on the other. The Government of Indonesia has built an international agreement with China-related trade area between China and the free countries of ASEAN, or often called the China-Asean Free Trade Aggrement (CAFTA). The agreement was implemented by the Government in Bandar Seri Begawan, Brunei, on November 6, 2001. The agreement came into force since January 1, 2010.
Acquirer.
Is a Bank or Non Bank conducting Card Payment Instrument which may be a financial acquirer and / or technical acquirer. Financial acquirer is the acquirer who make payments in advance of transactions made by cardholders. While the technical aquirer acquirer that provides a means is required in the processing of Card Payment Instrument.
Adl.
It is a conception of sharia adopted in Islamic banking is just putting something in place, and give something only on the right and treat something suitable position
Advance Payment / Payment in advance.
Is the way of payment of export outside the country where the Buyer pays in advance the price of goods to the exporter, in part or whole value of the goods in question before sent by the exporter. In this way the risk of payment is the part of buyers, if it is the exporters are not sending the goods. Given the payment of the goods has been made in advance by the buyer, the goods shipped by exporters already are / become the property buyer and are protected by the documents on behalf of the buyer is concerned.
Advance Payment Bond.
Bank Guarantee issued to guarantee payment of an advance granted by the User Services to Service Provider (contractor) of a construction project.
Advance payment bond is typically given at 20% of contract value of construction work in question. If the Service Provider Construction (contractor) be given a credit facility, the amount of advance payment bond must subtract from the calculation of working capital credit needs of the relevant Construction Services
Advising Bank.
Is a bank that conveys the message of L / C exports to the exporter who receives delivery of L / C exports to the exporter of its soon, but the L / C received should be checked before the truth (authenticity) by the receiving bank before it passed on to exporters. In continuation of L / C advising bank should state clearly whether the L / C is authentic. But the L / C that can not be done does not match an authentication or testnya be forwarded with a note that the L / C has not been inspected or test its authenticity is not appropriate and advising bank is not responsible for the authenticity of the L / C is. In exchange for undocumented Domestic Letters of Credit (SKBDN), for the term used term bank advising the Bank's successor, the bank continued SKBDN to the recipient (beneficiary).
Receiving Agent (in Money Transfer).
Is an individual, business entity incorporated or not incorporated business entities that receive some money from the sender to be delivered to Agent penerimaAgunan.
Additional collateral is delivered to the Customer Debtor bank in order to award credit facility or financing based on Sharia Principles.
High-quality collateral.
Collateral is required by Bank Indonesia as collateral for short-term funding assistance for the implementation of the functions of Bank Indonesia as Lender of last resort, to the beneficiary bank. Besides high-quality collateral must also be easily liquidated; include securities and / or bills issued by the Government or other legal entity that has a high ranking based on ratings agencies are competent and at times with the liquid. If short-term funding assistance can not be repaid at maturity, Bank Indonesia is fully entitled to withdraw the collateral
We will continue with Banking Terms Based on the word / phrase from Letter A (Part II)
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