Product Description
Bank of China (Hong Kong) Limited Jakarta Branch (“Bank”) has started its commitment to support OJK Regulation No. 51/POJK.03/2017 concerning Sustainable Finance Implementation for Financial Services Institutions, Issuers, and Public Companies (“POJK Sustainable Finance”) through the launching of the Green Loan in 2023. The Green Loan that has been granted to the Customer, has been certified by the third-party certified institution which refers to the Hong Kong government’s accredited list of externally accredited organization for the Green and Sustainable Finance Funding Schemes (2022) which updated by the Hong Kong Monetary Authority (HKMA).
In order to complete the commitment, the Bank provides Green Time Deposit for Corporate and Personal Customer who wants to contributes on supporting environmental conservation, facilitating economic carbon reduction, addressing climate change and contributing to the transformation of green lending and sustainable development projects.
Green Time Deposit gives an opportunity to the Customer to save funds, where the fund will be dedicated to support Green Loan on financing sustainable corporate projects which in line with Environmental, Social and Governance (“ESG”) principle. Green Time Deposit only available in the currency of USD for the period of 3 (three) months tenure with Non- Automatic Roll Over (“Non-ARO”).
Benefit
Make your investment meaningful by investing your funds in Green Time Deposit, which allows you to take part of the Bank to financially supports projects that in line with ESG principle. You will also receive a Green Time Deposit certificate as your contribution for supporting Sustainable Projects.
Risk
1. In line with the Deposit Insurance Cooperation (“LPS”):
- If the maximum interest rate in Bank above the LPS interest rate, therefore the fund is not including in guaranteed LPS Program based on the effective LPS’s regulation
- If the placement fund above the LPS amount, therefore the fund will be guaranteed up to the amount covered by the LPS Program
2. If the time deposit withdrawn before the maturity date, the accrued interest rate will not be paid
3. When the time deposit is mature, the fund will be withdrawal to the source of fund of customer account
4. Green Time Deposit placement is depending on the availability on the Bank, therefore customer cannot placement Green Time Deposit at any time.
Fees:
Tax income 20% from the interest income amount
Simulation:
This is the simulation of the interest calculation for customer with assumptions as follow:
Customer placement Time Deposit with amount USD 300.000,- for 3 (three) months tenure, with interest 3.75% p.a
Start |
Mature |
Days |
Principal (USD) |
%p.a |
Gross Int |
Tax (20%) |
Nett Int |
1-Jan-2024 |
1-Apr-2024 |
91 |
300,000.00 |
3.75% |
2,804.79 |
560.96 |
2,243.84 |
Nominal time deposit plus interest after tax deductions
Notes: the calculation is an estimate based on standard calculations
Product Characteristics
Nominal Placement: Min USD 300.000,- with multiply USD 100.000,- (for Corporate Customers) Min USD 30.000,- with multiply USD 10.000,- (for Personal Customers)
Time Deposit Tenure: 3 (three) months
Currency: USD
Source of Fund: Current Account (for Corporate Customer) and Saving Account and/or Personal Current Account (for Personal Customer)
Interest Rate: 3.75% p.a
Target Customer
Corporate and Personal Customers who wants to contributes on supporting the ESG and POJK Sustainable Finance.
Application Requirements:
Customers must fulfill the following requirements:
1. Customer have an account at the Bank and complete the required documents related to Green Time Deposit placement
2. Customers submit a request for the Green Time Deposit placement to the Bank
3. Customers submit a Green Time Deposit application form to the Bank
4. The Bank will check the available Green Time Deposit quota
5. If the Green Time Deposit quota is still available, then customers can place Green Time Deposit at the Bank
6. Minimum placement USD 300.000,- (for Corporate Customer); USD 30.000,- (for Personal Customer)
7. Identity Card
- Indonesian Citizens: KTP
- Foreign Citizens: Passport, KITAS/KIMS/KITAP, identity card of the country of origin
- Corporate: Information on the required documents can be accessed by customers on the Bank’s website, click here
8. Tax Identification Number (NPWP)
9. Already have at least one savings account at the Bank and fill out the Deposit Opening Application Form.
10. Current interest is not paid for withdrawals before maturity.
Customers can submit questions and/or complaints through the Bank’s Call Center at 021 – 5209988 or via E-mail at: callcenter@bankofchina.co.id