INTRODUCTION. Money Is the legal transactions payment.
-
Upload
rhoda-lloyd -
Category
Documents
-
view
212 -
download
0
Transcript of INTRODUCTION. Money Is the legal transactions payment.
INTRODUCTIONINTRODUCTION
Money
Is the legal
transactions payment
HISTORY OF MONEYBarter Systems
interchanging the goods and products
utilizing trading tool from agricultural products
as cocoa and others (this is known as “money commodity”)
Gradually changed to hard objects like stone and metal
Commodity functioned as trading tools
Croesus from Greek (560 – 546 Prechristian)
created gold and silver coins
Benjamin Franklin (Amerika)
Known as “You Are Bank Note”The first person
to print bank note
(dollar)
FINANCIAL INSTITUTION
An institution (public or private) that collects fund (from the public or other institutions) and invests them in financial assets; provides financial services for its clients or members
Financial Institution
Bank Non Bank
Finance Company Cooperation
Capital Market Insurance Company
Pledge Company
INDONESIAN BANKING HISTORY
No Bank Role Development Its Region Development1 Commerce among royals.
Bank as money exchange institution for business men among royals
Babylonia era antiqueGreece era Romanian era
2 World commerceBank as intermediate institution, which accepted fund from society in deposit and give that fund back to society that needed credit
Europe (Industrial Revolution)(England, France, Dutch, Spain, Portugese)
West Asia (European colony)
Indonesia ( Dutch colony)
1746The first Indonesian Bank is De Leening's Van Bank, founded by VOC in Javanese
1752
De Bank Van Leening became De Bank Courant En Bank Van Leening. Total banks established by Dutch in Indonesia increased. One of them was De Javasche Bank, afterward became Indonesian Central Bank.
24-01-1828
De Javasche Bank became the commercial bank
1949
“Konferensi Meja Bundar” at Den Haag. Dutch, increase d the roles of the De Javasche Bank as Central Bank and Commercial Bank
01-07-1953
De Javasche Bank nationalized and changed its name to “Bank Indonesia” (UU Pokok BI No. 11/1953) its had double roles.Thus, worsened the economics
1955PP No. 1/1955 governed credit, role and authority of banks in Indonesian
1968Law No. 13/1968 “Bank Indonesia” was limited its function as central bank
17-05-1999
Law No. 23/1999 Function and position of “Bank Indonesia” were independent and free of government interference
“Bank Indonesia“
Responsibility are:
1. Establishing and performing monetary policy
2. Managing and monitoring the flow of paying system
3. Managing and supporting banking company in Indonesian
INDONESIAN BANKING ARCHITECTURE (IBA)
Background of IBAResponded to economic crisis 1977, defined banking industry weaknesses including its disability to withstand the threats such as the external threats of industry
Definition of IBAAs framework for Indonesian banking formative and continuity its operating system for 5 - 10 years
Responsibility of IBAMaking banking system strong and efficient that created financial stability and increase the economic growth
Bank categorization based on IBA Bank Category Total Capital
1. International Bank > Rp. 50 Trilliun
2. National Bank > Rp. 10 Trilliun – Rp. 50 Trilliun
3. Focus Bank Rp. 10 Milyar – Rp. 10 Trilliun
4. Limited Effort bank < Rp. 100 Milyar