Name :

Nurafni Rahmaeni

Class :

XII MIPA 2

Economy in brief: RI set to hold first bond issuance of 2016

The government is set to hold its first bond issuance of 2016 on Tuesday, hoping to generate Rp
12 trillion (US$863.43 million).
According to a statement, the government will issue five types of conventional debt papers, with
coupons ranging from 8.25 percent to 8.375 percent per year and maturity periods of three
months to 20 years.
The sale with maximum funding target of Rp 18 trillion will be held using open auction
and multiple pricing mechanisms.
It will be the first bond issuance that the government holds this year in an attempt to raise a total
Rp 532.4 trillion from the market.
Finance Ministry director general of financing and risk management office (DJPPR) Robert
Pakpahan said that part of the target had already been secured under a pre-funding scheme in
December, which is a new measure enabled by the 2016 State Budget Law.
Under the pre-funding scheme, the government managed to take Rp 63 trillion, including $3.5
billion from a global bond offering.
Robert said if government are confident that they will be able to finance various projects slated
to start early this year because they already have sufficient funds.
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