The government has decided to borrow a whopping Rp 304 trillion by April 30, 2025. This amount is equivalent to 39.2 percent of the APBN target of Rp 775.9 trillion. According to Deputy Finance Minister Thomas Djiwandono, this indicates that the current financing is on track and performing well. In a press conference for the APBN KiTa Edition in May 2025 held on Friday (23/5/2025), Thomas stated that non-debt financing amounted to Rp 24.9 trillion. In total, budget financing reached Rp 279.2 trillion or 45.3 percent of the target of Rp 616.2 trillion.
Thomas explained that the financing performance remains stable due to disciplined risk mitigation measures. He emphasized that the financing is on track and achieving good results. The government has been able to meet financing targets through various risk mitigation measures, such as prudent debt financing. Risk mitigation efforts include strategies such as prefunding, maintaining sufficient cash buffers, and active cash and debt management. The government also flexibly and prudently regulates the timing, volume, type of instruments, and currency combinations. Additionally, the government is considering issuing global bonds in Renminbi and Australian dollars. Thomas clarified that the government is contemplating issuing global bonds in Renminbi, known as Dim Sum Bonds, as well as in Australian Dollars or Kangaroo Bonds.
Dim Sum Bonds are bonds issued in Yuan outside of China, while Kangaroo Bonds are issued by non-Australian entities in the Australian bond market. On the other hand, the auction of State Bonds (SUN) has shown high interest, with total bids reaching Rp 108 trillion, the highest since August 2023. To broaden sources of financing, the government issued Samurai Bonds worth 103.2 billion yen or approximately 725 million US dollars. These yen-denominated bonds were issued in five tenors, with varying coupons: 3 years (1.56 percent), 5 years (1.87 percent), 7 years (2.05 percent), 10 years (2.35 percent), and 20 years (3.26 percent). “The 20-year tenor is issued in the Blue Bonds format. Blue Bonds adhere to ESG and sustainable principles, especially related to maritime aspects and matters concerning the sea and water,” said Thomas.
