"They posed questions on all (economic) aspects. Some raised queries related to tax amnesty and whether the policy will be imposed this year," the minister stated in response to the results of a global (shariah-based) bond roadshow here on Friday.
Brodjonegoro said that the tax amnesty policy will be implemented after the draft law on tax amnesty had been deliberated with the House of Representatives (DPR). After all, it will have a positive impact on the states revenue and economic growth.
"We will encourage the implementation of the tax amnesty policy. It is important as it could help maintain the sustainability of the public sector and contribute to economic growth," he remarked while answering questions by the investors on the roadshow, which lasted for seven days.
Last week, the minister held roadshows to introduce the products to investors in several cities, which are shariah-based financial centers in the Asian, Middle Eastern, and European regions.
The roadshows were organized before the government issued the global shariah-based bonds in the coming several months.
On the occasion, the finance minister explained Indonesias current economic conditions and the governments economic plans to would-be investors of the shariah-based bonds, which will be released in the dollar currency denomination.
In 2015, the government had issued a global shariah-based bond series worth US$2 billion, with a maturity period of 10 years due in 2025. This is the largest volume of shariah-based bonds the government has ever issued since such bonds were first floated in 2009.
It was the sixth issuance of the global bonds and the fourth of its kind issued in the Islamic Global Medium Term Notes (Islamic GMTN) program whose value was upgraded to US$10 billion.
In the meantime, the government had last month targeted to earn Rp25 trillion-Rp30 trillion in funds from the issuance of the states retail SR-008 shariah bond series, which was launched to raise public funds to finance the state budget.
"Our target is Rp25 trillion-Rp30 trillion. If the demand is high, we will upsize (the bonds) to up to Rp30 trillion," Director General of Financing and Risk Management at the Finance Ministry Robert Pakpahan noted at a press briefing on February 18.
Pakpahan remarked that the government had received orders from sales agents for the bonds worth Rp43 trillion or higher than the indicative target.
The retail SR-008 shariah bond series was issued on March 10, 2016, by virtue of assets to be leased (Ijarah), with projects or activities of the state budget 2016 and state property in the form of land and buildings as underlying assets.
The retail shariah bond series, issued at a coupon rate of 8.3 percent per year, was offered from February 19 to March 4, with a minimum subscription of Rp5 million and a maximum subscription of Rp5 billion.
The yield on the retail SR-008 shariah bond series, due on March 10, 2019, will be paid on the 10th of every month, with the first payment being made on April 10, 2016.
The government has also appointed 20 banks and six securities firms as sales agents for the retail SR-008 shariah bond series.(*)
Editor: Heru Purwanto
Copyright © ANTARA 2016
