Government Targets Offers Of Up To IDR 36 Trillion In Tomorrow's SUN Auction

Illustration-(Photo: DOK ANTARA)

JAKARTA - The government will again hold an auction of Government Securities (SUN) on Monday, February 12, 2024. In this auction, the government set an indicative target of IDR 24 trillion-IDR 36 trillion from the seven series offered. Referring to the website of the Directorate General of Financing and Risk Management (DJPPR) of the Ministry of Finance, the seven SUN series that will be auctioned are the SPN (State Treasury) and FR (Fixed Rate) series. This auction is carried out to meet part of the financing target in the 2024 State Budget. Here are the seven SUN series that will be auctioned: 1. SPN03240515 (New Issue) will mature on May 15, 2024 with a discount fee rate. 2. SPN12250213 (New Issue) will mature on February 13, 2025 with a discount fee rate. 3. FR0101 will mature on April 15, 2029 with a reward rate of 6.87 percent. 4. FR0100 will mature on February 15, 2034 with a coupon rate of 6.62 percent. 5. FR0098 will mature on June 15, 2038 with a reward rate of 7.12 percent. 6. FR0097 will mature on June 15, 2043, with a reward rate of 7.12 percent. 7. FR0102 will mature on July 15, 2054 in exchange for 6.87 percent. This auction will open on Monday 12 February 2024 at 09.00 WIB and close at 11.00 WIB. The auction results will be announced on the same day. Meanwhile, the schedule will be held on February 15, 2024 or 2 working days after the auction date. The sale of the SUN will be carried out using an auction system organized by Bank Indonesia. The auction is open (open auction), using various price methods (multiple price). The SUN to be auctioned has a nominal value per unit of Rp. 1,000,000.00 (one million Rupiah). The auction winner who submits a competitive bid will pay according to the submitted yield.

The auction winners who submit non-competitive bids (non-competitive bids) will pay according to the weighted average yield (weighted average yield) of the competitive purchase bids declared victorious. In addition, the government has the right to sell the seven SUN series larger or smaller than the specified indicative number.