Purbaya Emphasizes that Patriot and Red and White Bond Protection is Only for Funds Invested

JAKARTA - Minister of Finance Purbaya Yudhi Sadewa emphasized that the legal protection provided to investors in Patriot Bond and Merah Putih Bond cannot be equated with the facilities that were previously provided in the tax amnesty program.

According to Purbaya, the provisions set out in the revision of the Law on the Development and Strengthening of the Financial Sector (P2SK) only provide protection for funds invested in the instrument.

He added that the protection does not cover all assets and business activities owned by investors.

The explanation was given by Purbaya as a response to various criticisms and debates that have emerged regarding Article 50A of Law Number 4 of 2026.

This article regulates protection for buyers of special debt securities issued by the Anagata Nusantara Power Investment Management Agency (Danantara), namely Patriot Bond and Merah Putih Bond.

"The truth is, the money used for Patriot Bonds will not be touched by the source of where it came from. But if he has other businesses, he can be pursued," he told the media, Tuesday, June 23.

Purbaya explained that the government only provides protection for funds placed in the instrument, without removing the authority of the apparatus to conduct an examination of the investor's assets or business activities outside the investment.

"The money that comes in is secured, the money outside the mah is up to them," he explained.

He emphasized that the scheme was different from the tax amnesty which provided forgiveness for the assets disclosed by the program participants.

According to Purbaya, it is therefore not appropriate if the provision is equated with the tax amnesty policy that the government has implemented previously. "So it's not like tax amnesty. Tax amnesty is free of all. This is not. Money goes into it," he explained.

Amid concerns that the rules could potentially open the door to money laundering practices, Purbaya assessed that this policy was actually designed to attract funds that had been outside the financial system to enter the country and could be used to support development financing.

"Instead of the money being outside, let it enter the system. Yes, there is a little loss. But according to me, it is easy for the money to enter our economy," he explained.

According to him, the entry of funds into the national financial system will benefit the economy, although the government is aware of a number of consequences that need to be managed carefully.

Purbaya also revealed that the government would provide a certain period of bidding for investors who want to participate in the instrument.

"So if you have a lot of money, get in there quickly. Like I said, I'll give you six months to get in," he explained.

The provisions regarding Patriot Bond and Merah Putih Bond are contained in Article 50A of Law Number 4 of 2026 concerning Amendments to Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector (P2SK).

In the regulation, Danantara obtained the authority to issue special debt instruments in the form of Patriot Bond and Merah Putih Bond in addition to conventional debt instruments that have been known in the market.

Article 50A paragraph (5) states that the state guarantees and protects the purchase of special debt instruments from general criminal charges, special criminal charges including tax crimes, and civil lawsuits.

Meanwhile, paragraph (6) stipulates that data and information related to the purchase of the instrument cannot be used as a basis for imposing taxes or evidence in legal proceedings.

The protection only applies to transactions carried out in the primary market as regulated in paragraph (7).

In addition, the revision of the P2SK Law also expands the scope of investors who can buy Patriot Bonds and Merah Putih Bonds, including taxpayers who have previously participated in the tax amnesty program or the Voluntary Disclosure Program (PPS).