JAKARTA. The Indonesian government is currently re-reviewing the plan of issuance of Yen-denominated bond, or Samurai Bonds, amidst the recession in Japan.

Suminto, Director-General of Budget Financing and Risk Management of the Ministry of Finance, mentioned that his party will continue to monitor the development of needs and economic growth, as well as financial market of Japan.

According to IDNFinancials data, the gross domestic product (GDP) of Japan declined 0.4% year-on-year (yoy) in Q4 2023. Meanwhile, in the last quarter, its GDP dropped as far as 3.3% yoy.

“Including that, with the current economic development of Japan, will we issue Samurai Bond? Of course, we will have to keep monitoring,” added Suminto.

So far, the Indonesian government had issued Samurai Bonds before. The latest issuance was in May 2023, in which the transaction reached JPY 104.8 billion or IDR 11.34 trillion.

Meanwhile, the alternative fundings raised by the Indonesian government per January 2024 had reached IDR 107.6 trillion. It includes funding from issuance of Government Securities (SBN). (KR/ZH)