Master Credit Agreement Template for Indonesia

The Master Credit Agreement serves as the primary document governing credit relationships between financial institutions and borrowers in Indonesia. It is typically used when establishing long-term lending relationships that may involve multiple facilities or drawdowns over time. The agreement must comply with Indonesian banking regulations, including Bank Indonesia regulations and OJK requirements, particularly regarding currency provisions, security arrangements, and language requirements. It includes comprehensive provisions for facility utilization, interest calculations, representations and warranties, covenants, and events of default, all structured within the Indonesian legal framework. The document is essential for corporate lending transactions and can be adapted for various types of credit facilities while maintaining compliance with local regulatory requirements.

1. Parties: Identification of the lender(s) and borrower(s), including their complete legal names, registration numbers, and addresses

2. Background: Context of the agreement, relationship between parties, and general purpose of the credit facility

3. Definitions and Interpretation: Comprehensive definitions of terms used throughout the agreement and rules of interpretation

4. The Facility: Details of the credit facility, including type, purpose, and overall limit

5. Conditions Precedent: Conditions that must be satisfied before any utilization of the facility

6. Utilization: Procedures and requirements for drawing down the facility

7. Interest: Interest calculation, periods, rates, and payment provisions

8. Repayment and Prepayment: Terms for regular repayment and voluntary/mandatory prepayment

9. Representations and Warranties: Standard representations and warranties from the borrower

10. Information Undertakings: Borrower's obligations to provide financial and other information

11. General Undertakings: Positive and negative covenants applicable to the borrower

12. Events of Default: Circumstances constituting default and consequences

13. Changes to Parties: Provisions for assignment, transfer, and changes in parties

14. Administration: Administrative provisions including calculations, notices, and communications

15. Currency Provisions: Specific provisions regarding currency of payment and compliance with Indonesian currency regulations

16. Governing Law and Jurisdiction: Choice of Indonesian law and jurisdiction provisions

17. Language: Dual language requirements and prevailing version as per Indonesian law