Government Bond Highlights
At the government bonds (Surat Utang Negara, SUN) auction dated 07/24/18, the government absorbed the funds of IDR4.81 trillion from the total incoming bid of IDR9.89 trillion. The funds absorbed was lower than the indicative target of IDR6 trillion. SPNS11012019, SUN with 6-month tenor, obtained the biggest bid of IDR3.68 trillion. Indonesia Composite Bond Index (ICBI) nudged up 0.33% to 234.78 last week.
The government obtained the lower proceeds from the 2Q18’s auction than the 1Q18 and 4Q17’s auction. Investors estimate the possibility that the government likely absorbs the higher proceeds from the 3Q18 and 4Q18’s SUN auctions in order to achieve the 2018’s target.
Download full report HERE.
