The minister explained that Komodo Bonds was a foreign debt in rupiah, which has never been done before by Indonesia.Jakarta (ANTARA News) - The Minister of State-Owned Enterprises, Rini Soemarno, said that three state-owned companies will issue Global IDR Bonds, or the so-called Komodo Bonds.
"We are preparing three bonds, namely Jasa Marga, Wijaya Karya, and PLN," Soemarno stated here on Thursday.
She added that the SOEs issuing the bonds this year are Jasa Marga and Wijaya Karya (engaged in infrastructure), while PLN (the state-owned electricity company) is likely to issue the bonds in the first quarter of 2018.
"Komodo bonds must have an international rating, so that the preparations take time. It is expected that Jasa Margas bonds will be offered in the first week of November 2017," she noted.
The minister explained that Komodo Bonds was a foreign debt in rupiah, which has never been done before by Indonesia.
"Many foreign investors are willing to buy rupiah bonds, but they do not want to make transactions in Indonesia but abroad. This is what we are trying to do," she remarked.
The issuance of similar global bond has also been done by India and China.
Indias bonds is named Masala Bonds, with Rupee, and Chinas is Dim Sum bonds, with Renminbi currency.
"Most bonds are about infrastructure. Therefore, we must try it out," Soemarno pointed out.(*)