Vol.
the inside
>>KSEI
Newsletter
Capital Market and Banking Collaboration
3
8
EVENT
01
2014
Vol.
Cultural Diversity
&
Nature of Bali
Despite Bali is only a small island among thousands in Indonesia’s
Archipelago, it has a strong
magnet to attract the
attention of the world
.
Notes
from Director
Thanks God Almighty that the irst edition of KSEI Newsletter is published. KSEI News
-letter publication complements Forum Kustodian Sentral (FOKUSS) or Central Custodian Forum Bulletin that has been published regularly since 1999. Still, to differ from the former publication, KSEI Newsletter is available in English as a part of KSEI efforts to engage wider audience, especially for international readers.
KSEI Newsletter is expected to provide foreign readers or inance institutions abroad with information about PT Kustodian Sentral Efek Indonesia (KSEI), as Indonesia Central Securities Depository, and about Indonesia capital market in general.
KSEI realizes that information exchange with other capital market institutions overseas is critical to support Indonesia’s capital market development. In addition, KSEI pleased to share
with the audience about latest developments in Indonesia capital market. Hopefully, such endeavor would beneit all
stakeholders and also foster KSEI participation in
interna-tional level. That is in line with KSEI’s efforts to improve its credibility and to become an internationally-competitive institution.
The Newsletter irst edition presents AKSes Facility Co-Branding, the latest innovation that will add convenience for investing in capital market. The facility is a part of initial sy-nergy between Indonesia capital market and banking sector, which is an initial step taken by the country’s capital market regulator. Admittedly, bank services have become people’s basic need in modern times. Banking have established a mature industry with an infrastructure network that reaches re
-mote areas of the country, that opens a possibility of cooperation that would beneit capital market investors.
KSEI is planning to establish a facility that connects to banking services, ranging from ATM that is widely available now, to internet and mobile banking. Thus, investors would be able to conduct both banking and capital market transactions through those banking services.
This irst edition also tells a short story about one of the world main tourist destinations, Bali, The Island of Gods.
Happy Reading!
Editor
Toll Free
0800 -1- 865734
Call Center KSEI
021 - 515 2855
Website KSEI
www.ksei.co.id
helpdesk@ksei.co.id
“KSEI Newsletter
is expected to
provide foreign
readers or inance
institutions
abroad with KSEI
information.”
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Publisher: PT Kustodian Sentral Efek Indonesia (KSEI) • Advisor: KSEI Directors • Editor: Corporate Communication Unit • Distribution: Corporate Communication Unit
Editor’s Address:
Indonesia Stock Exchange Building Tower Ist, 5th Floor
Jl. Jend. Sudirman Kav. 52 - 53 Jakarta 12190 Phone: (021) 5299 1099
Fax: (021) 5299 1199
Heri Sunaryadi,
KSEI & PERMATABANK COOPERATION
KSEI cooperation with
PermataBank marks a
new stage in utilizing
bank services to facilitate
transaction activities
in Indonesia capital
market. Investor now can
monitor their Securities
account balance and
movement through ATMs.
he banking industry has inevitably become an integral of Indonesia society. Its service now ranges from saving money to
daily transaction facilities such as for
bill payment. All becomes easier with support of banking infrastructure; we
almost no longer need to hold cash
money.
Historically, the concept of bank
-ing has been known since the Dutch colonial government in the 1800s.
The concept of capital market also
existed in the same era, but the bank -ing industry developed more steadily,
making the industry better known by the Indonesian people.
Considering the fact that banking services are well known among Indo -nesians, Indonesia Central Securities Depository/PT Kustodian Sentral Efek
Indonesia (KSEI) takes the initiative to develop AKSes (Securities Ownership Reference) Facility Co-Branding that is integrated with bank ATMs. Wide banks’ network across the country expected
to provide more access to investors to monitor their securities portfolios
T
through the ATMs. Moreover, most of the people use ATMs regularly such as for withdrawing cash or performing other non-cash transactions.
In order to develop the facility, in early 2014,
KSEI signed an agreement with PT Bank Permata Tbk (PermataBank) to develop AKSes Facility Co-Branding. This signing oficially started an alliance between KSEI and PermataBank to develop project for integrating AKSes Facility with PermataATM.
KSEI President Director Heri Sunaryadi said that the Co-Branding cooperation was KSEI initial step to enhance capital market infra
-structure with national banking network through Investor’s AKSes/SID. In addition to ATM, this program will also be extended to other banking facilities such as internet banking and mobile banking. Heri said that he hopes that all the banks, which have been or will cooperate with KSEI as Investor Fund Account (RDN) administrator bank, would follow the cooperation in order to open up new opportunities for capital mar
-ket development and to allow investor to enjoy easier investment activity in capital market.
“Access through banking network will trigger and facilitate the development of investment-related service in the capital market. One door policy where banks can
Barong
Barong dance is a traditional Balinese dance performed by up to two dancers who wear
the mythical creature’s costume and mask. The Balinese believes that performing the
Barong, which resembles the shape of faerie ruler of Bali southern ocean Ratu Gede
Mecaling, can repel evil spirits. There are several types of Barong dances and Barong
Ket is the most popular among tourists.
Capital Market
and Banking
Collaboration
“Access through
banking network
will trigger and
facilitate the
development of
capital market.”
perform KYC (Know Your Client) for securities account opening in Securities Company can be developed more eficiently in order to deepen the market. It can also increase eficiency in instruction delivery, which would not be limited to a withdra-wal instruction but also for the selection and purchase of in
-vestment products such as mutual funds, ORI and retail Sukuk, or securities booking in the primary market. All of them can be developed through the banking network,” said Heri.
Financial Services Authority (Otoritas Jasa Keuangan/OJK) Chief Executive of Capital Market Commission Nurhaida, who also witnessed the agreement signing ceremony, welcomed the initiative to expand AKSes Facility through the bank’s ATM network. In her speech, Nurhaida said that the capital market industry has to embrace the fact that public’s understanding of banking today is much broader than the capital markets. It is common for Indonesians to become customers of a bank, which is supported by vast banks’ network that reached even the remote areas in Indonesia.
“Under the same supervision which is OJK’s, capital market can begin to work together with bank. Access information via ATM is an excellent start. As a part of
society daily life, ATM is very familiar to use, so it is expected that the ATMs can also facilitate investors in their activities related to investing in capital
market,” she said.
Nurhaida hopes that the capital
market will expand and develop more collaboration with banks in line with
efforts to centralize investors’ data and SID in KSEI, including process for the
Mutual Fund investors, and plans to consolidate KSEI’s capital market investors database with society database in the Ministry of Domestic Affairs.
Starting in June 2014 or about ive months since the MoU signing, investors now can utilize AKSes Facility through PermataATM. The oficial launch of the facility was held on Tuesday, 15 July 2014 in the Main Hall, Gallery of the Indonesia Stock Exchange.
The AKSes Facility Co-Branding via PermataATM was oficially launched by KSEI President Director Heri Sunaryadi and PermataBank interim President Director Roy Arfandy with symbolic presentation of PermataATM which is integrated with AKSes Facility to investors representatives.
The terms for investors to be able to use the facilities through ATM are simple. First, investor is required to have a savings account at PermataBank in order to obtain an ATM card, and has RDN account in PermataBank which is opened by the Securities Company. As easy as that, investor can keep using the same ATM card and PIN number. Next, investors must register with a simple process via PermataATM. The registration process
was needed only once to check that investor has the RDN account with PermataBank. If the
registration process is successful, the investor can access their securities information and
fund balance data recorded in KSEI through the ATM menu.
Another additional feature that can be-neit investors is the withdrawal instruction to Securities Company. This feature allows inves
-tors to submit a withdrawal instruction to the Securities Com
-pany through AKSes Facility in PermataATM, as an alternative to instruction deliveries by fax or online trading applications.
Heri hopes that completion of AKSes Co-Branding with Per
-mataATM would encourage other RDN administrator banks to develop similar cooperation with KSEI. Heri said that currently a preliminary discussion about AKSes Co-Branding with a RDN administrator bank has completed and moving forward to nego
-tiation stage. “Hopefully in the near future, there will be another RDN administrator bank, which develops AKSes Co-Branding with ATM facilities. Therefore, network to access AKSes facilities will be extensive, providing more convenience to investors.”
The latest cooperation between KSEI and PermataBank adds an alternative for investor to access AKSes Facility. KSEI expects investors to well utilize the facility by accessing and monitoring their account regularly. The investors’ active role
in monitoring their portfolio and fund through AKSes facility
forms the real basis for the creation of investor protection in capital market. n
[Editor]
ingle Investor Identiication (SID) has been implemented since the beginning of February 2012, or for more than two years now, on the initiative from Indonesian Indone -sia Central Securities Depository/PT Kustodian
Sentral Efek Indonesia (KSEI) along with a Self Regulatory Organization (SRO), and with the sup
-port of the Financial Services Authority (Otoritas Jasa Keuangan/OJK).
SID was developed in line with the development of AKSes (Securities Ownership Reference) Facility and Straight Through Processing (STP) transaction and settlement process, and the application of Investor Funds Account (RDN), all of which are expected to create a conducive investment climate in Indonesia capital market.
As a single identity, each investor only needs to have a SID number despite hav
-ing Sub Account in more than one KSEI Account Holder. Data of the investor who has several Sub Account will be consolidated into the SID number based on the number of identity, status of the investor (such as individuals, or pension funds, etc.), date of birth or incorporation, and domicile of origin investors (local or foreign).
SID consists of 15-digit numbers and letters combination (alpha numeric) that contains information about type of investor (individual, company, or institu
-tion) and domicile of origin (foreign, or local). SID also contains 6-digit number of trading ID, which is a prerequisite for investors to be able to conduct transac
-tions in Indonesia Stock Exchange. KSEI data shows approximately 340,000 SID numbers at the end of June 2014, compared to just 280,000 SID numbers when the requirement was irst implemented in early 2012. The data also shows that the number of capital
market investors continues to increase
every year, which can have a positive im -pact for Indonesia capital market
indus-try and the counindus-try’s economic growth. SID so far can provide an overview
regarding the demographic of investor
registered in KSEI. Further SID applica
-tion that allows us to see more investors’
characteristics is currently under
deve-lopment. So, in near future SID database
can provide Indonesian capital market
participants with investors’ proile that
is not only limited to age, gender, and
type of work. The initiative to establish a complete and accurate database of investors should be supported by efforts to investors’ data.
Update of capital market investors’
data is mandatory for KSEI Account
Holder, in accordance with a provision in OJK Regulation No.V.D.10 regarding Know Your Client (KYC) principle. This principle is expected to be carried out by
Indonesia capital market participants as
an effort to protect investors.
KSEI has implemented Static Data
Investors (SDI) module on its primary system C-BEST since 27 December 2013.
S
Population Data for Investor
Database Reference
KSEI will cooperate with the General Directorate of
Population and Civil Registration, Ministry of Domestic
Affairs, to update investors’ data. In its inal stage, individual
data stored in national electronic ID card will be the single
point of reference for investors’ database in KSEI.
Bali Beaches
Bali is synonymous with beaches. The island has a total 5,000 hectares of coastal areas,
which stretching up to 529 km. There are at least 7 famous beaches in Bali, namely Kuta,
New Kuta (Dreamland), Padang Bai, Sanur, Legian, Nusa Dua and Seminyak. In addition to
swimming or sunbathing, beach in Bali is also a paradise for surfers.
“In near future, SID
database can provide
Indonesian capital
market participants
with complete
The module is basically a database of capital market investors that allows KSEI Account Holders – which are
Securities Companies and Custodian
Banks – to update customers’ data independently as the data changes. Being always current and valid, the database can provide reliable demo
-graphic information. Implementation of
SDI module is also the starting point of
the formation of the Indonesia capital market investor database.
The data update process through SDI module is highly dependent on the quality of customer databases at KSEI Account Holder. The databases are expected to be accurate, completed and being constantly updated when change occurs.
The greatest obstacle is related to individual data updates. Generally investors as customers of KSEI Account Holder do not convey any change in their data, barring KSEI Account Holders from making any updates.
In order to enhance SID implementation and to support data updating on
Indone-sia capital market investors, who are identiied by SID number, KSEI plans to cooperate with Directorate General of Population and Civil Registration at the Ministry of Domes
-tic Affairs, in term of utilizing the Republic of Indonesia population database that is based on national electronic ID card records.
The Ministry and OJK signed in February 2014 a Memorandum of Understanding (MoU) on Cooperation of Utilizing Single Identity Number (NIK), Data Population and Electronic Identity Cards in the Scope of Services of OJK. The MoU provides a legal ba
-sis for each agency under the supervision of OJK, which con-sists banks, capital market institutions, and other non-bank inancial institutions, to cooperate with the Directorate General of Population and Civil Registration in making use of the national population database. Currently, there are 16 agencies under OJK supervision that have signed MoU with the Ministry regarding population database utilization.
Considering the urgent need for updating investors’ database and to take advan
-tage of legal agreement between OJK and the Ministry of Home Affairs, KSEI plans to
enter cooperation agreement with the
Directorate General of Population and
Civil Registration at the Ministry that will allow the institution to harness the national population database for inves
-tors data updating. Utilization of the Indonesian population database will be reserved speciically for individual inves
-tors who are Indonesian citizen. For the data updating process, KSEI will develop a system that integrate with
the Population Administration
Informa-tion System (SIAK) at Directorate General of Population and Civil Registration at the Ministry of Domestic Affairs. Under the 2013 Population Administration Law Number 24, there are 27 data ields that can be utilized by KSEI. Some investors data such as NIK and address, will be connected and always updated at KSEI database, if there is a change in Director -ate General of the Population and Civil
Registration’s database.
As a preliminary step, the national
population database will be used for
checking against all investors’ data in
SDI module. In the future, the population database would serve as data validation and veriication platform for Sub Account opening process and SID number issu
-ance.
In the future, there might be a chance for KSEI Account Holder to be able to utilize a card reader that can read the chip embedded in national electronic-ID card in individual Sub Ac
-count opening for Indonesia Citizen. This system is expected to be implemented on a regular basis by the end of 2014.
This partnership is expected to provide a more complete and accurate
database on Indonesia capital market,
and to make tracking changes on
inves-tors data easier. In addition, accurate and constantly updated investors data allows KSEI to plan better program and product development based on the available information. n
[Editor]
“KSEI plans to cooperate
with Ministry of Domestic
Affairs, in term of
utilizing the Republic
of Indonesia population
database.”
C-BEST Next-G Development:
Improve Settlement of Securities
Transaction
urrently the settlement of trade transactions that occurred in the Indonesia
Stock Exchange (IDX) can be carried out relatively well. KSEI’s transaction
settlement system, namely the Central Depository and Book Entry Settlement
System (C-BEST), is still able to serve the number of transactions that occurs in IDX. Still, KSEI has developed the C-BEST Next Generation (C-BEST Next-G) in anticipation of an increase number of transactions in the long term and as an effort to improve its services.
Total securities settlement through C-BEST reached 1.34 trillion units in 2013 with total frequency around 37.5 million. This was an increase from 2012, when the system carried out 1.05 trillion units of transaction settlements and 29.9 million transaction frequencies. The development
of C-BEST Next-G is targeted to handle
three times of current settlement capacity. Development of C-BEST Next-G was started in 2012 with the submission of
development specifications to prospective
vendors, which were participating in the system developer selection process.
Selection and evaluation of C-BEST Next-G developer entered final stage
by the end of 2013 and came up with
C-BEST Next-G allows 20,000 Securities transactions
settlement per minute in Indonesia capital market, from
previously just 3,000 transactions per minute.
C
selected vendor. System design and development is being carried out this year.
“The development of the C-BEST Next-G is targeted for completion
in 2015. That is in line with the development of a new trading system that has been implemented by IDX namely ‘Jakarta Automated Trading System’ (JATS) Next-G,” said KSEI President Director Heri Sunaryadi. Heri said settlement system needs to boost its capacity
to match increased transaction
number that can be handled by JATS
Next-G in order to ensure a seamless
working process.
Moreover, C-BEST Next-G is deve-loped to meet the challenges of rapid
technological advances. The current
C-BEST is more than 10 years old and
has been used since the beginnings of scripless trading in 2000. n
[Editor]
“Total securities
settlement through
C-BEST reached 1.3
trillion units in 013 with
total frequency around
37.5 million.”
Subak
Subak is a centuries-old water management system for rice ields in Bali. The rice ields
are arranged in terraces to conform to the mountainous landscape. Subak landscape is
designated as a World Heritage site on the World Heritage Committee session of the 36
thKSEI and PT Bank Permata Tbk, signed a Memorandum of Understanding (MoU) for Co-Branding of AKSes Facility via PermataATM on 28 February 2014. The signing initiated alliances between KSEI and PermataBank in a develop
-ing project that integrate AKSes Facility with the bank ATM facilities. KSEI President Direc
-tor Heri Sunaryadi and Direc-tor of Wholesale Banking PermataBank Roy Arfandy signed the agreement in the Main Hall at Gallery of Indone
-sia Stock Exchange. The signing ceremony was witnessed by the Chief Executive of the Capital Market Supervisory Financial Services Authority (OJK) Nurhaida, PermataBank Interim Director M. Herwidayatmo, the Board of Directors of Indo -nesia Stock Exchange, the Board of Directors of Indonesian Clearing and Guarantee Corporation, KSEI Board of Directors and Commissioners and
representatives of associations in capital market.
As part of its effort in implementing good corporate governance, KSEI has conducted steps
to achieve ISO 27001:2005 on Information Secu-rity Management System (SMKI) since 2012. A surveillance audit by PT SGS Indonesia in October
2013 concluded that KSEI overall operation meets
ISO 27001:2005 standard. PT SGS Indonesia de
-livered ISO 27001:2005 certiicate to KSEI in the ceremony that coincided with the signing of the MoU of cooperation AKSes Facilities Co-Brand
-ing via PermataATM. In the event, Shashibhushan Jogani, Business Manager of PT SGS Indonesia, handed the certiicate to KSEI President Director Heri Sunaryadi. These policies serve as guidelines for KSEI in protecting the conidentiality, integrity and availability of investors’ data and information. In other words, KSEI information management systems meet international standards, which can increase investor conidence in KSEI data deposit.
As part of Shareholders’ Capacity Building
activities in Tokyo, Japan on 2 to 6 April 2014, KSEI along with representatives of KSEI shareholders, SRO, KSEI Committee members and several other invitees visited Japan Securities Depository Center, Inc. (JASDEC) and the Tokyo Stock Exchange (TSC). Participants attended a sharing session about the activities at JASDEC and TSC, which conluded with a visit to the Exchange Gallery in TSC.
KSEI representatives attended the
Association of National Numbering Agen
-cies (ANNA) Ordinary General Meeting in Reykjavikl, Iceland on 22 - 23 May 2014. The meeting was attended by ANNA mem
-bers consisting of the Central Banks, the
Central Securities Depository institutions, the regulators, and the stock exchanges
from several countries. ANNA is an asso -ciation of institutions authorized to issue
ISIN (International Securities Identiica
-tion Number) and CFI (Classiica-tion of Financial Instruments) codes as the refer -ence standard for international securities
trade. KSEI has been an ANNA member since 1994. As the national numbering agency for Indonesia, KSEI publishes identity number for all securities, including those issued by government and private
companies that are registered in
Indo-nesia. At the end of the regular meeting, Extraordinary General Meeting was agreed to be held in Bali, Indonesia on 20 - 21 November 2014.
KSEI delegates attended the 15th
ASEAN+3 Bond Market Forum (ABMF)
Meeting in Mandaluyong City, Manila,
Philippines on 18 March, 2014. The meet
-ing constituted of several sub forums that discuss different topics. Sub-Forum 1 (SF1)
discusses the role of ASEAN+3
Multi-Cur-rency Bond Issuance Framework (AMBIF), which is an ABMF pilot project. The forum discussed AMBIF implementation
guidlines and other issues related to the
project. Sub-Forum 2 (SF2) discussed the
harmonization and standardization of
cross border message delivery and the ISIN numbering standardization that will be implemented.
Another discussion addressed is Bond
Market in member countries. The next meeting will discuss standardized mes -sage model and design, compiling the
re-sults of questionnaires about the message and the ISIN numbering, as well as identify issues or barriers regarding cross border collateral and REPO. In this meeting, China and South Korea will also share relevant information on REPO activities that have been running in their respective countries.
Indonesia Custody Bank Association (ABKI) and KSEI made visits to several institutions in Hong Kong capital market on 22 - 23 May 2014. The compara
-tive study began with a sharing session of Hong Kong Exchanges and Clearing Limited (HKEx) and HSBC Hong Kong. HKEx carries out both stock trading and settlement clearing functions. In addition, HKEx regulates issuer registration as well as listings management. HKEx handles both scripless securities and those in physical paper form. In conducting its operations, HKEx uses a system called CCASS (Central Clearing and Settlement System). After meeting with HKEx, Alas-tair Murray, Sales Asset Managers, HSBC Securities Services Asia Paciic gave a lecture on the latest developments of Hong Kong capital market. Based on the data presented by Murray, the Hong Kong residents’ participation in investment increased to 39% in 2013, compared to 37% a year earlier.
Central Securities Depository of Iran (CSDI) is the host for the 16th ACG Cross
Training Seminar, which took place in Parsian Azadi Hotel at Tehran, Iran on 19 to 21 May 2014. Representatives of clearing and central depository institutions that are members of the Asia Paciic Central Securities Depository Group (ACG Group) present the latest development in the business. The overall activity was attended by 70 participants from 14 countries, and invited delegates from Oman.
Development of capital market in Iran was also presented at the seminar. Dr. Hossein Mohammadi, CEO Consultant CSDI, explained that the concept of capital market has grown in Iran since the time of the Persian Empire in 6 B.C. with the use of stone tablets as securities or debt notes. The Muslim majority in Iranian society drives Sukuk as one of the popular investment products. The number of products of the Sukuk Ijarah and Murabahah in Iranian capital market over the past four years reached an average of $240 per year with as many as 12 types of Sukuk.
Ngaben
Ngaben
is a cremation performed by the Hindus. The ceremony performed to purify
the spirit of ancestors who have passed away heading into the inal resting place by
way of a funeral pyre. Etymologically, ngaben can mean either ash or provision for the
journey into spirit world.
Composition of Share, Corporate Bonds & Sukuk Ownership
Securities
30 December 2013 30 June 2014 Domestic/
Foreign (in trilion Rp)Value % Domestic/Foreign (in trilion Rp)Value %
Shares D 868.80 37% D 964.62 36%
F 1,475.47 63% F 1,714.78 64%
Coorporate Bond and Sukuk
D 206.24 93.63% D 201.88 92.17%
F 14.03 6.37% F 17.15 7.83%
STATISTIC
Stock Exchange Transaction Settlement
30 December 2013 30 June 2014
Frequency Total (Unit) Value (Rp) Frequency Total (Unit) Value (Rp) 37,499,462 1,342,657,273,695 1,522,122,357,663,490 3,755,425 96,246,374,667 105,588,744,009,214
358
As of June 2014 As of December 2013
Number Of Securities Listed At C-BEST
41 35 0 119
6 74 32 12 1 10 535
Corporates Bonds Government Bonds
Warrants Rights Issue Medium Term Notes
Assets Backed Securities Private Equity Funds
Sukuk
Sovereign Sharia Securities DIRE
Negotiable Certificate of Deposit Shares
1.223
Total
355 41 31 2 96
STATISTIC
Balinese Culinary
Bali is famous for its unique foods which are rich in spices and have distinctive lavor.
One of the Balinese foods that can spoil culinary lovers is Betutu chicken or duck.
Betutu is commonly used as offerings in religious ceremonies as well as typical dishes.
Another popular food is sate lilit.
310,000 315,000 320,000 325,000 330,000 335,000 340,000 345,000
320,779
328,162
331,528
334,796
338,195
340,152
Jan Feb Mar Apr May Jun
Single Investor Identification (SID)
Jan - Jun 2014
Increase
5,6%
Increase
6,3%
Increase
9,6%
Sub Account
Jan - Jun 2014
Total Asset
Jan - Jun 2014
2,500.00 2,550.00 2,600.00 2,650.00 2,700.00 2,750.00 2,800.00 2,850.00 2,900.00 2,950.00 3,000.00
Jan Feb Mar Apr May Jun Jan Feb Mar Apr May Jun 390,000
400,000 410,000 420,000 430,000
440,000 408,619 422,324 423,433 427,498 432,607 436,089
2,679.12
2,781.36
2,880.50 2,911.93
2,949.77 2,965.28
onde Nast Traveler, a world travel magazine,
named Bali as Most Beautiful Island in the
World in the magazine’s March 2014 edition, beating Phuket, Maldives and Greece. This traveling magazine conducted a survey to readers in Russia, asking question about the world’s beautiful places
that is most interesting to visit. Another tourist website lists Bali as one of the six most romantic places in the world, along with Santorini in Greece, Kauai in Hawaii, Capri in Italy, Maldives, and the Great Barrier Reef in Australia.
The attraction of Bali is not only relected in the beauty of its natural scenery, but also in its cultural atmosphere and rich traditional ceremony that can be found throughout the region, which is also dubbed as the Island of Gods. Bali is a small island in Indonesia which lies between Java and Lombok. The total area of Bali Province is 5,637 squared kilometers or about 0.3 percent of total area of the Republic of Indonesia. The majority of the island population practice Bali Hinduism.
Many places in Bali can boast their global reputations; among others are Ubud, the center of art and resting place in Gianyar re
-gency and Nusa Lembongan, one of the diving spots in Klungkung regency. Badung regency in the south of the island hosts many beach resorts that scattered throughout its beautiful beaches such as Kuta, New Kuta Beach, Seminyak, Jimbaran, and Nusa Dua.
Bali, a Paradise in Eastern Indonesia
Bali is also famous for the
traditional gamelan, which is a
variety of percussion
instru-ments. Kecak performances become one of the famous colossal performing arts, which comprise music collaboration
and singing that supposedly
monkeys mimic. Kecak dance is performed by dozens male dancers with a certain rhythm called “cak” while raising both arms, depicting a scene from the epic Ramayana as monkeys army helps Sri Rama to ight Ravana.
Kecak is said to have originated from the Shanghyang
ritual, a dance traditions in which the dancers will be in a trance in order to communicate with God or the spirits of the ancestors, conveying their hopes and payers. The Kecak dancers sit in a circle wearing only a black and white check
-ered cloth on their waist.
Other dance performances include the famous Barong, Joged Bungbung, Pendet, Line Dance and the Legong Dance.
The dances are performed in the traditional ceremonies that
take place all the time in Pura, the place of worship for Bali Hindus. They are also performed in religious ceremonies such as Nyepi, Galungan, Saraswati, and the ceremony of Manusa Yadnya: such as Ngaben, a cremation ceremony for the death; Otonan ceremony to celebrate birth; Mesangih ceremony for cutting teeth; Pawiwahan, the wedding cer
-emony; and other traditional ceremonies. n
