In preparing scripless trading planned to be effective in the first semester of 2000, Bapepam set up the infrastructure in form of rules and settlemet system in KPEI and KSEI.

In 1999 Bapepam approved KPEI related rules regarding scripless trading clearing, guarantee and settlement, pre-emptive rights with settlement by book entry and shares trading with settlement by book entry.

Bapepam also approved six KSEI rules compaire rule no.1 regarding custodial services for pre-emptives rights, rule no. 2 regarding registration of pre-emptive rights issuers, rule no.3 regarding KSEI working committee, rule no.4 regarding central collective custody services, rule no.5 regarding fee of collective custody services, and rule no.6 regarding stock registration.

In May 1999, KPEI and KSEI signed a contract with CAPCO, a Belgium company with business in software system application, to develop system for scripless trading clearing and guarantee, and system for book entry settlement in central custody. The system was planned to be implemented in the first semester of 2000.

On August 11, 1999, KPEI and KSEI appointed PT Bank Lippo, ABN Amro Bank N.V., PT Bank Mandiri as the paying banks. The appointment was made by the selection team consisting of SRO representatives and other market participants under criteria of the ability to provide related services to clients and integrated technology with KPEI and KSEI system.

In November 1999, Bapepam and KPEI conducted comparative study on securities lending and borrowing with the objective of avoiding delivery failure in scripless trading.

In preparation of Y2K problem, KPEI and KSEI established business continuity plan with respect to clearing and settlement of stock exchange transactions.

© 1999 Bapepam, All Rights Reserved. Notice.