Debt Management Director General of the Ministry of Finance Rahmat Waluyanto said the state bond sales are aimed to meet most of the 2011 state`s budget funding target.
The government would auction off four state budget series consisting of the newly issued SPN20120119 with discount interest payment due January 19, 2012 and three other re-issued series namely FR0055, FR0053 and FR0054.
The FR005 re-issue series with 7.38 percent fixed interest that will due on September 15, 2016 and coupon payment at every March 15 and September 15.
For the FR0053 re-issue series 8.25 percent fixed interest that will due on July 15, 2021 and coupon payment at every January 15 and July 15.
The FR0054 re-issue bond implied with 9.50 percent fixed interest that will due on July 15, 2031 and coupon payment at every January 15 and July 15.
The State Bonds selling will be done using the Indonesian Central Bank`s (BI) auction system.
Government has the right to sell these bond series higher or less than the asserted indicative price.
Previously Rahmat said that the government will implement the "front loading" (published in large numbers in the early years) strategy for state bonds issuance as is done in 2010.
"This front loading strategy will last up until the midyear, and it will be tailored according to the financing needs," he said.(*)
Editor: Heru Purwanto
Copyright © ANTARA 2011
