INDONESIA - BANKING - BI to Apply Minimum Down Payment Regulation to Islamic Banks

www.bisnis.com - JAKARTA: After a minimum down payment credit policy applied to conventional banks and multifinance since mid-June, Bank Indonesia will ensure to apply similar regulation to Islamic banking.

Bank Indonesia (BI) Islamic Banking Department Executive Director Edy Setiadi said the preparation of minimum down payment regulation for Islamic Bank needs more time because this type of bank has limited data resources compared to conventional banks.

"The principle is BI also has to make similar regulation for Islamic banks," he said yesterday (8/13).  (source)

INDONESIA - BANKING - BSM motor vehicle financing stagnant

www.bisnis.com - JAKARTA: PT Bank Syariah Mandiri not experience an increase in the distribution of syariah-based financing of motor vehicles to the company's multi-since last June.

Director of Microfinance & Small Hanawijaya BSM said before the company can provide financing facilities to multi-Islamic berskema conventional, both of which have a business unit of sharia (UUS) and do not have UUS.

However, he added, since the minimum down payment regulations applicable to conventional auto financing business, not an increase in financing for multi-channeling berskema sharia.  (source)

INDONESIA - FINANCE - ICD to extend $157m of loans in 2012 (PT Sritex and PT Mandala Multifinance)

The Dubai-based Islamic Corporation for the Development of the Private Sector (ICD) says it will distribute US$157 million in sharia loans in 2012, comprising $17 million for three banks and $140 million for military uniform maker PT Sritex.

Director for the ICD’s financial institutions development department, Basel A. Al-Hag Issa, said ICD was still in discussions with some banks, but had yet to decide which banks would receive the $17 million loan. (source)