Auction of Six State Sukuk Record Entry Offers Of IDR 4.34 Trillion, Government Absorbs IDR 1.37 Trillion

JAKARTA - The government absorbed funds worth IDR 1.37 trillion from the auction of six series of state Sukuk or state sharia securities (SBSN). This amount is the result of bids entered through the auction system of Bank Indonesia (BI) amounting to IDR 4.34 trillion.

The six series of state Sukuk are SPNS02052023 (new issuance), PBS036 (reopening), PBS003 (reopening), PBS029 (reopening), PBS034 (reopening), and PBS033 (reopening).

As reported by Antara, Tuesday, November 1, the Directorate General of Financing and Risk Management at the Ministry of Finance detailed that the SPNS02052023 series which received an entry offer of IDR 550 billion, received IDR 500 billion in funds with a weighted average yield of 4.46 percent.

Then, from the PBS036 auction, IDR 7 billion was absorbed from the total bid of IDR 1.09 trillion with a weighted average yield of 6.57 percent won.

The PBS003 auction received an offer of IDR 678 billion with funds raised of IDR 170 billion, with a weighted average yield of 7.07 percent won.

Furthermore, a nominal value of IDR 600 billion was won from the PBS029 auction which received an entry bid of IDR 1.44 trillion, and the weighted average yield won was 7.77 percent.

From PBS034, IDR 70 billion was absorbed, which came from an incoming offer of IDR 155 billion and the weighted average yield won was 7.65 percent.

Finally, the government received funds from the PBS033 series of IDR 25 billion, which received an offer of IDR 416 billion, with a weighted average yield of 7.65943 percent.

As a follow-up to the SBSN auction on November 1, 2022, and in accordance with Minister of Finance Regulation Number 195/PMK.08/2020 and Minister of Finance Regulation Number 38/PMK.02/2020, the government will conduct an additional SBSN auction (Green Shoe Option) on November 2, 2022, at 09.00-10.00 WIB.

The series offered in this additional auction are PBS036, PBS003, PBS029, PBS034, and PBS033, with the rewards and weighted average yields won the same as the main auction.

The additional auction may be participated by BI, the Deposit Insurance Corporation (LPS), and/or the main dealer submitting a purchase offer in the November 1, 2022 SBSN auction.