JAKARTA. Through the Ministry of Finance, the Indonesian government arranges an auction for Sovereign Sharia Securities (SBSN) or State Sukuk with an indicative target of IDR 5 trillion next Tuesday (19/10).

In the official announcement received by idnfinancials.com, five series of SBSN will be put in an auction. Four of them are Project-Based Sukuk (PBS), while the other one is Sharia Treasury Bill (SPN-S).

The offered reward for the SPN-S is a discount coupon. Meanwhile, for PBS, the coupon rate is set to 4% to 7.75%. Additionally, the underlying assets of the released sukuk would be projects or activities in the 2021 State Budget and the state assets.

There will be 13 banks and 5 security companies joining as the primary dealers in this upcoming auction. “The auction will be an open auction, using a multiple price scheme,” the Directorate-General of Financing and Risk Management of the Finance Ministry announced in its official statement. (KR/ZH)