Selanjutnya

Banking Arrangement
between
National Bank of Hungary
and
Bank Indonesia

In realizing the desire to promote and enhance the cooperation
in the field of international banking between both countries, the
Na tional Bank of Hungary (hereinafter called NBH) and Bank Indonesia, the Central Bank of Indonesia (hereinafter called BI) have
agreed as follows:
Article I
All transactions implemented by and between the commercial
banks established in the countries of the Parties hereto shall be
subject to applicable national legislation and governmental
regulations. Notwithstanding the foregoing the abovesaid commercial banks shall remain free to choose the governing l aw of any
given transaction in accordance with the general international
private law practices .
Article II
Payments of any transaction through the banking ｳｹｴｾｭ＠
between
the Republic of Hungary and the Republic of Indonesia shall be in

freely convertible currencies.

Article III
It is contemplated by the Parties hereto, that all payments and
other banking transactions relating to the purchase o f goods and
services that are to be carried out through the commercial banks
of the tHo countries shall be subject to the relevant current
uniform custom s and pr a ctices of the International Chamber of
Commerce and to normal international banking practices.

Article IV
In case the payment of transactions 1s using letter of credit
(L/C), then the opening of L/C either by commercial banks in
Hungary or by commercial banks in Indonesia could be in the form
of sight L/C or usance LjC.
Article

v

Any modification or amendment deemed necessary to this Banking

Arrangement, shall be made by mutual written agreement between NBH
and BI.
Article VI
Subject only to applicable national legislation NBH and BI
shall supervise the implementation of the agreed· transactions
between the commercial banks of the two countries in accordance
with the regulations as stipulated in Article I and III and if
it is deemed necessary, urge the concerned commercial banks to
perform their commitments. NBH and BI shall exchange information
related to the implementation of this Article.

Article VII
In case of any possible difference and dispute arising between
commercial banks registered in the respective countries of the
Parties h e reto, each of NBH and BI will use its best efforts to
advise andjor recommend any relevant solution for expediting the
early settlement of such differences and disputes.

Article VIII
This Banking Arrangement sha ll enter into force from the date it

is signed and will remain in force for a period of two years.
Thi s Banking Arrangement may be renewed by mutual agreement between
NBII