A number of government securities (SUN) market players are awaiting the results of the Bank Indonesia (BI) Board of Governors (RDG) meeting regarding the policy on interest rates in the April 2021 period. 3.5% level. The yield on the benchmark 10-year SUN FR0087 fell to the level of 6.48%, in line with the decline in the yield on US Treasury (UST) for the same tenor to the level of 1.56%. BI’s commitment to maintain interest rates throughout 2021 will encourage domestic economic recovery and provide room for a reduction in bank interest rates.
Pefindo has the mandate of debt securities of IDR 45.27 trillion. The Indonesian Securities Rating Agency (Pefindo) has a mandate to issue debt securities worth IDR 45.27 trillion from 39 companies. Meanwhile, the type of sustainable public offering (PUB) only dominates with an emission plan of IDR 16.33 trillion. This is followed by IDR 7.32 trillion bond type and IDR 6.50 trillion PUB plan (phase II and beyond). Then, respectively, the types of medium term notes (MTN) with an emission plan of IDR 4.57 trillion, sukuk IDR 7.90 trillion, securitization of IDR 2.35 trillion, and commercial securities of IDR 300 billion. (Bisnis Indonesia)
Crypto Transactions will Be Taxable. Cryptocurrency or cryptocurrency trading has begun to expand in recent years. The government has also detected that the transaction has the potential to contribute to state revenue. Therefore, it is planned that cryptos will be taxed. The Commodity Futures Trading Supervisory Agency (Bappebti) said the imposition of taxes on crypto will be parallel with the plan to form an exchange that houses bitcoin traders and their friends. There are currently 13 crypto asset traders registered with Bappebti. (Kontan)
Rupiah Stability and Inflation Hold BI 7-DRRR. BI is projected to maintain the BI 7-DRRR at the Board of Governors Meeting this month, in line with the stability of the rupiah exchange rate. The results of the BI RDG on April 19-20 2021, a Bloomberg survey estimates that the BI-7 DRRR will still remain at the level of 3.5%. NHKSI Research sees this determination, making room for banks to lower their interest rates. On the other hand, the rupiah exchange rate weakened by more than 1% MoM against the US dollar, or depreciated 3.7% YtD. BI’s commitment to maintain its interest rates will be a positive sentiment for today’s Sukuk auction bids. Today, investors are looking at PBS027, PBS017, PBS029, PBS004, and PBS028. Bids for these five series will have the opportunity to yield lower yields than the previous auction.