The settlement of securities is governed by the Capital Market Law and the regulations of the Capital Market and Financial Institution Supervisory Board (BAPEPAM-LK).

The settlement of all Indonesian government bonds is a scripless process. Bank Indonesia (BI) uses the Scripless Securities Settlement System (BI-SSSS) for state debt securities, open market operations, and to connect to BI’s Real Time Gross Settlement System. Transactions are conducted via delivery versus payment. BI-SSSS is used for BI transactions covering open market operations, bank financing facilities, and state debt securities auctions conducted on behalf of the Government.

Corporate bond settlement is conducted between seller and buyer through the Fixed Income Trading System (FITS). PT Kustodian Sentral Efek Indonesia (KSEI) conducts the clearing and settlement of corporate bonds. Details regarding the FITS and KSEI can be found by following the web links provided below.

Settlement in the derivatives market is on a cash basis. The Indonesian Clearing and Guarantee Corporation (KPEI) acts as the counter party for settling and liquidating an open position upon contract maturity.

A custodian is responsible for safekeeping securities and securities-related assets. The Capital Market and Financial Institution Supervisory Board (BAPEPAM-LK) provides a list of licensed custodians, which can be accessed through the link below.