There are no regulations prohibiting short selling in Indonesia. The Capital Market and Financial Institution Supervisory Board’s (BAPEPAM-LK) rule number V.D.6 (definition no. 9) states that a securities company can short sell on a client’s account only when the securities used to settle the transaction are approved in a standard contract between the company and a clearing guarantee institution or another securities company.

In October 2008, the Indonesia Stock Exchange (IDX) temporarily banned short selling due to volatile market conditions. IDX announced in February 2009 that short-selling transactions would resume on 1 May 2009, subject to the issuance of new regulations.

Futures and options for bonds in the Indonesia Stock Exchange (IDX) are not yet available.

Interest Rate Swaps are based on interbank interest rates. They are available in IDR and in foreign currencies