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Sharia Busines Unit UUS a. Conventional Commercial Banks that conduct
business activities based on sharia principles must open Sharia Business Units UUS.
b. The opening of a UUS can only be done with BI’s approval in the form of a business license. The UUS
working capital shall be set and maintained at no less than Rp. 100 billion.
c. UUS can be separated from Coventional Comercial Banks by:
• Establishing new Sharia Commercial Banks BUS;
or
• Transfer UUS rights and obligations to the existing
BUS by fulfilling the prevailing requirements.
11. Conversion of a Bank’s Name and Logo
Conversion of a Bank’s name must be performed in compliance with the provisions stipulated in the
applicable laws and regulations, including regulations issued by Ministry of Industry, Ministry of Law and Human
Rights. In the event the relevant institutions have already issued approval documents on the conversion of the
Bank’s name, the said documents shall be submitted to BI along with the application of request for the conversion of
the Bank’s name. The said application shall be submitted by the Bank to
BI no later than 30 working days after the conversion of name with reasons for the conversion of name, and the
deed of byelaw already approved by the authorized agency.
BI shall grant approval no later than 30 working days after the completed documents have been received. The
Conversion of any Bank’s name must be announced in a newspaper that has a national circulation no later than 10
days after the date of BI’s appoval.
Change of a Bank logo must be reported to BI no later than 30 working days prior to the change and implementation
of the logo taking place, by enclosing documents, among
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others concerning the design of the new logo.
12. Conversion of Business Operations of Conventional Banks to Sharia Banks
Conventional Banks can convert their business activities to Sharia Banks, while Sharia Banks are prohibited to
change their business activities into Conventional Banks. The change of Conventional Banks business activities into
Sharia Banks can only be done with the approval of BI.
The conversion of Conventional Banks business activities into Sharia Banks can be conducted as follows:
a. Conventional Commercial Bank to Sharia Commercial Bank,
b. Rural Banks to Sharia Rural Banks. Plan for the change of Conventional Banks business
activities into Sharia Banks must be stated in the business plan of the Conventional Banks. A conventional Bank that
will convert its business activities into a Sharia Bank must: a. Adjust the byelaw;
b. Meet capital requirements; c. Adjust requirements for Board of Directors and Board
of Commissioners; d. Establish DPS; and
e. Present initial financial statement as a Sharia Bank. A conventional Commercial Bank that will make changes
of their business activities to become a Sharia Commercial Bank must:
a. Have a Minimum Capital Adequacy Requirement
KPMM of no less than 8; and b. Have a core capital of no less than Rp 100 billion.
A Rural Bank that will convert its business activities into a Sharia Rural Bankmust meet requirement on capital as set
in BI regulation related to Sharia Rural Banks. Board of Commissioners and Board of Directors of Sharia
Commercial BanksSharia Rural Banks must meet BI provisions related to Sharia Commercial BanksSharia
Rural Banks. A conventional Commercial BankRural Bank that will convert its business activities into a Sharia
Commercial BankSharia Rural Bank must form a DPS.
