TEMPO.CO, Jakarta - The Indonesian government, through the Ministry of Finance, will conduct an auction of seven series of State Bonds (SUN) on Tuesday, October 15, 2024. The auction will offer bonds with coupon rates starting from 6.5 percent and a nominal value of Rp1 million per unit.
According to the official website of the Ministry of Finance, the government aims to raise Rp22 trillion through this auction. “The SUN auction in rupiah currency is intended to fulfill a portion of the financing target outlined in the 2024 State Budget,” as stated by the Directorate General of Financing and Risk Management on Monday, October 14, 2024.
The auction will be open from 9:00 a.m. to 11:00 a.m. Jakarta time on Tuesday. The seven series of bonds being auctioned are reopenings, including SPN12250116, SPN12251002, FR0104, FR0103, FR0098, FR0097, and FR0102. These series have varying maturity dates, ranging from January 16, 2025, to July 15, 2054, and offer coupon rates between 6.5 percent and 7.12 percent.
The sale of SUN will be conducted through an auction system organized by Bank Indonesia. The auction is open to all, using various pricing methods. Successful bidders will pay according to the yield they have proposed.
Both individual and institutional investors can participate in the auction by submitting purchase bids through designated auction participants. Several official auction participants or main dealers have been appointed, including Citibank N.A, Deutsche Bank AG, PT Bank HSBC Indonesia, PT Bank Central Asia Tbk, PT Bank Danamon Indonesia Tbk, PT Bank Maybank Indonesia Tbk, PT Bank Mandiri (Persero) Tbk, PT Bank Negara Indonesia (Persero) Tbk, PT Bank OCBC NISP Tbk, PT Bank Panin Tbk, PT Bank Rakyat Indonesia Tbk, PT Bank Permata Tbk, PT Bank CIMB Niaga Tbk, PT Bank ANZ Indonesia, Standard Chartered Bank, and JP Morgan Chase Bank N.A.
Meanwhile, the appointed official investment management companies include PT BRI Danareksa Sekuritas, PT Mandiri Sekuritas, PT Trimegah Sekuritas Indonesia Tbk, and PT Bank Tabungan Negara (Persero) Tbk.
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