Burhanuddin Abdullah was convicted in the anti-corruption court of embezzling 10.
3 million dollars in bank funds to bribe lawmakers and hire lawyers to defend bank officials facing corruption allegations.
"The defendant has been proved legally and convincingly to have been corrupt and must be sentenced to five years in jail and fined 250 million rupiah," judge Gusrizal told the court.
Abdullah served as Bank Indonesia governor from 2003 until he was replaced earlier this year.
He told reporters as he was being led away by police that he would appeal.
"I'm very disappointed with the decision and will file an appeal... I will never stop pursuing truth and justice," he said.
The scandal has severely damaged the credibility of the central bank but the sentence was less than the eight years' jail and 500-million-rupiah fine demanded by the prosecution.
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Anti-corruption campaigners said that while Abdullah may not have been the leader of the cash-for-favours ring his seniorit