$51 Billion Global Bond to Fund Budget Deficit

The Government of Indonesia targets to issue global bonds worth US$51 billion this year, equivalent Rp684 trillion, for covering the budget deficit, expecting to reach 2.4-2.6% over the GDP this year. Without natural saving in spending, the budget deficit is potentially expected to reach 2.9% this year. The Government on Tuesday (July 18) offered global bonds worth US$1-2 billion, equivalent Rp41 trillion. Year to date, the Government has issued global bonds worth US$3.5 billion and global Islamic (sukuk) bonds worth US$3 billion. The global bonds have tenor of 7 years, 10 years, and 30 years.