JAKARTA. The Indonesian government is once again holding the auction of Government Securities (lit. Surat Utang Negara/SUN) next Tuesday (28/5) with an indicative target of IDR 22 trillion.

There will be 8 series of SUN offered in the upcoming auction, according to the Directorate-General of Budget Financing and Risk Management of the Ministry of Finance. They consist of 2 series of Government Treasury Notes (lit. Surat Perbendaharaan Negara/SPN) and 6 FR series of Government Bonds (lit. Obligasi Negara/ON).

The coupon offered for SPN is in the form of discounts, while the coupon for 6 ON series varies from 6.87% to 7.37%.

For the record, along with the auction of 6 SUN series, Indonesian gov’t will also reopen FRSDG001 for tender offer. FRSDG001 is the first Sustainable Development Goals (SDGs) Bond offered through an auction in the primary domestic market.

As per usual, the auction will be held using an auction system held by Bank Indonesia. All parties may submit their bids in the auction through primary dealers authorised by the Minister of Finance.

According to IDNFinancials data, it is the third SUN auction held by the gov’t in the second quarter of 2024. Previously, the Indonesian government had conducted SUN auction on April 30 and May 14, 2024.

The incoming bids in these two auctions were reported at IDR 50.19 trillion and IDR 49.42 trillion. The awarded amount of both auctions reached IDR 21.5 trillion and IDR 21.36 trillion, respectively. (KR/ZH)