Be The Last Retail SBN 2021, These Are The Benefits Of Investing In ORI-20

Illustration of ORI-120 (Photo: screenshot of the Ministry of Finance's Youtube)

JAKARTA - The Director General of Financing and Risk Management of the Ministry of Finance Luky Alfirman confirmed that the government will no longer release retail Government Securities (SBN) after the ORI-20 series.

"Starting today, the government is offering retail SBN, namely ORI-20 which is the last retail SBN in 2021 with an offer period from 4 to 21 October," he said during a virtual launch event, Monday, October 4.

In his presentation, Luky explained about a number of advantages that investors get by investing their capital in this instrument.

First, by investing in ORI-20, investors mean that they have helped the government to deal with the COVID-19 pandemic in the country. This is because all the funds raised will be used for various strategic activities, such as paying for the cost of treating COVID-19 patients, procuring and distributing vaccines, providing incentives for health workers, and so on.

"Investors can provide benefits to the community because they play a real role in developing the country through APBN financing," he said.

Second, competitive returns. According to Luky, with an interest rate of 4.95 percent per year, the ORI-20 is very feasible to collect in the current pandemic situation.

“Favorable? Of course, because the returns are competitive and can be compared with other investment instruments,” he asserted.

Three, ORI-20 offers all the conveniences for investors to be able to acquire it. Because this SBN can be obtained online and without the need to come to a particular financial institution or institution.

“Since 2018 retail SBN has used an online system that makes it easier for investors to obtain. This is increasingly relevant to the current pandemic situation, people can still invest in Retail SBN anytime and anywhere," he explained.

The strategy of optimizing digital channels called Luky is quite successful. This claim is reflected in the increasing participation of millennial investors.

“The use of this online channel has been well received by the public, as evidenced by the number of millennial investors in ORI-19 with 37.5 percent. Even in the retail bond issuance of the SR-10 series last July, the percentage of millennials occupied 46.1 percent," he said.

Meanwhile, the last benefit that can be obtained by investors when collecting ORI-20 is security in investing because it is guaranteed by the state.

"ORI-20 is a very safe investment instrument because coupon and principal payments are guaranteed by law and the funds are provided in the APBN every year," said Luky.

For information, throughout 2021 the government has planned to finance a total of IDR 1,006,4 trillion to cover the APBN deficit.

As of August 31, 2021, the amount of financing or debt that has been collected is IDR 528.9 trillion or 52.6 percent of the set ceiling.