GOVERNMENT ISSUES BONDS VALUED AT RP 549.7 TRILLION FOR BANK RESTRUCTURING.(Brief Article)

From: Indonesian Commercial Newsletter | Date: August 22, 2000 | Copyright information

Bank restructuring is a key to success in economic recovery. The banking sector has collapsed as a result of the monetary crisis with swelling debts and deposit runs followed by operation with negative spread

The government has established the Indonesian Bank Restructuring Agency (IBRA) which started operation on jan. 27 in 1998 to seek to recover non performing credits and recapitalized troubled banks. The government has provided blanket guarantee protecting third party funds in banks.

Since its establishment, there are 48 banks suspended, 13 taken over and 7 other ...

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