inter-bank and bearer deposits are not covered. The Bank of Italy can make low-interest rate loans to facilitate a large pay-out. The coverage has been ITL 200 millions per depositor since establishment, which corresponded to EUR 103,291 as of 2003.

_Sources_ : Own survey of deposit insurers, Garcia (1999), IADI Survey: Italy (2003), Kyei (1995).

**Jamaica.** ( _Deposit Insurance Corporation, Deposit Insurance Act 1998_ ) The deposit insurance system of Jamaica was established in 1998. It is government legislated and administered. Membership to the scheme is mandatory. Insurance coverage limit was initially J$ 200,000 and was raised to J$ 300,000 after July 2001. Coverage is calculated per depositor per institution and it extends to foreign currency deposits as well.

_Sources_ : Own survey of deposit insurers, IADI Survey: Jamaica (2003).

**Japan.** ( _Deposit Insurance Corporation-DIC, Deposit Insurance Law_ ) There are two separate deposit insurance schemes in Japan; one for commercial and Shinkin banks, credit cooperatives and labor and credit associations, and another for agricultural and fishery cooperatives. The first scheme covers demand and time deposits in domestic currency. The coverage was 1 million yens in 1971, 3 millions in 1974, and 10 millions in 1986 covering the principal only; and, it became 10 millions for principal plus interest in 2001. Due to a law amendment in 2002, special deposits for settlement and payment uses have been fully covered. The blanket guarantees were offered for current, ordinary and special deposits in 1996 as well again as a temporary measure. The coverage is otherwise per depositor per institution. The system is government legislated and administered. The government and the central bank provided the initial capital. The fund can borrow from the central bank, and the government can guarantee the DIC’s debt. Membership to the Corporation is mandatory. Between 1996 and 2000, banks were required to pay a special premium of 0.0036% in addition to their regular rate of 0.0048%. As a result of an amendment to the Deposit Insurance Law in February 1998, the government allocated 17 trillion yens to a special account in the DIC. _Sources_ : Own survey of deposit insurers, Garcia (1999), IADI Survey: Japan (2003), Kyei (1995), Oxford Analytica Brief (1997).

**Jordan.** ( _Deposit Insurance Corporation_ ) The DIC of Jordan was established in September 2000 and it is government legislated and administered. Membership to the scheme is compulsory and insurance has been provided up to JD 10,000 since establishment. The coverage is calculated per depositor per institution. Insurance premiums are assessed on a flat basis with a rate of 0.25%. _Sources_ : Own survey of deposit insurers, IADI Survey: Jordan (2002).

**Kazakhstan.** ( _Deposit Insurance Fund_ ) The Deposit Insurance Fund of Kazakhstan was established in November 1999. The system is government legislated and administered. The National Bank of Kazakhstan provided the initial capital of KZT 1 billion for the Fund and its membership became compulsory after January 2004. Member banks pay a flat rate of 0.25% for two years after they enter the system and 0.16% from then on. In case of insufficiency, the Fund can borrow from the National Bank and the government. The coverage limit is KZT 400,000 (about $3000 as of 2003) per depositor per bank and before 2003 it was KZT 200,000. Foreign currency deposits are also covered.

_Source_ : IADI Member Profiles: Kazakhstan Deposit Insurance Fund, Kazakhstan Deposit Insurance Fund (2004).

**Kenya.** ( _Deposit Protection Fund Board, Banking Act No. 17, 1985_ ) The DIS of Kenya was established in 1985 following four bank failures and it became operational in 1986. The scheme is administered officially and funded jointly. The fund can borrow from the central bank. The board is chaired by the governor of the central bank. The Treasury is represented by a permanent secretary. _Sources_ : Central Bank of Kenya (2004), Garcia (1999), Kyei (1995).

**Korea.** ( _Korea Deposit Insurance Corporation, Bank Deposit Insurance Act 1995, Law no. 5042, the BDIA_ ) The Deposit Insurance Corporation of Korea was established in June 1996 and became operational in January 1997. The scheme is government legislated and privately administered. The coverage limit was initially set at 20 million WON but between November 1997 and December 2002, in response to the financial crisis, the deposits were covered in full. Demand deposits, savings and time deposits, installment deposits and mutual installment deposits, and money in trust with a principal were protected accordingly by the scheme. The types of institutions covered are domestic commercial banks, specialized banks, foreign

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