For The Sake Of Us All, The Government Is Willing To Issue Foreign Debt Securities Of IDR 105.3 Trillion

Minister of Finance Sri Mulyani Indrawati. (Photo: Doc. Ministry of Finance)

JAKARTA - The government, through the Ministry of Finance, informed that it has succeeded in issuing Government Securities (SUN) in two foreign currencies, namely the US dollar and the euro.

Minister of Finance (Menkeu) Sri Mulyani said that from the two financing instruments, each raised US $ 4.2 billion for a 10-year tenor, US $ 1.25 billion for 30 years, and US $ 500 million for 50 years.

Meanwhile, for the Euro denomination, it is 1 billion Euros for a tenor of 12 years. If added together, the total SUN distributed by the government reached IDR105.3 trillion (USD exchange rate IDR14,100 and Euro exchange rate IDR17,142).

"The great thing is that all the series of publications this time have recorded records with the lowest interest rates in history," he said in a virtual press conference of our APBN, Tuesday, February 23.

In addition, Sri Mulyani also explained that the results of the issuance of Retail Government Securities (SBN) series ORI019 offered since last January were quite good.

"All the proceeds from the issuance of Global Bonds and ORI019 are used to meet the funding needs of the 2021 State Budget, including for the COVID-19 pandemic prevention program and national economic recovery," said the Minister.

For information, the 2021 State Budget is expected to be maintained with a budget deficit target of 5.7 percent of GDP. A smaller deficit than 2020 is a sign of the consolidation policy that the government is starting to carry out.

Meanwhile, the realization of budget financing until the end of January 2021 reached IDR 165.9 trillion or 16.5 percent of the 2021 APBN target.

"The APBN is working hard and its performance is maintained in support of the continuation of the PEN program and free vaccinations for all Indonesian people," he said.

"The government continues to strengthen in terms of taxation, as well as strive to accelerate spending to support growth. With the strengthening of PEN and efforts to accelerate vaccination, it is hoped that future economic conditions will improve. Synergy and the active role of all parties are also needed so that Indonesia can quickly recover from this pandemic, ”concluded Sri Mulyani.