Japanese Tsunami, How Global Destiny Bond?

Indonesia still plans to issue global bonds amid Japan's economic pressures.

The Indonesian government is optimistic the issuance of global bonds (global bonds) are still run as scheduled, although the Japanese economy is currently experiencing slowing. So far, Japanese investors including one absorbent Indonesian debt.
"Yes, now market is sizable, but not the Japanese make investors wait and see," said Acting Head of fiscal policy the Ministry of Finance Bambang Permadi Soemantri Brodjonegoro in the office of the Ministry of Finance, Jalan Wahidin, Jakarta, Tuesday, March 22, 2011.
For information, the government would close the funding shortage in the State Budget (APBN) in 2011 amounted to Rp124, 65 trillion through the issuance of three types of government securities. Besides the global bond, Kemenkeu would publish the global sukuk and Samurai Bond.
Ministry of Finance has appointed three securities firms will be foreign underwriters (underwriter) the issuance of global bonds the government of Indonesia in 2011. Three securities firms are JP Morgan, UBS, and Deutsche Bank.
According to Bambang, the yield level (yeild) of debt at this time was being interesting. However, the government also needs to take into account the absorption capacity of the investor who is currently busy with the tsunami of negative sentiment and fears of nuclear radiation in Japan.
"We do not may want to enter the market with a condition that is bearish," he said.
Being asked about plans for the Philippine government is still a global issue bonds worth U.S. $ 1.5 billion, Bambang said Indonesia has its own market share in terms of absorption of global debt securities. The government does not feel concerned about the competition for foreign investors.
"We've got the market itself. Besides Japan right down his ratings. We're actually in the ride," said Bambang.
He added that the Philippines is also making more because the state budget being under pressure, so that should soon issue debt securities. "They should immediately issue a debenture, if not his budget will be bleeding," said Bambang.
Previously, Kemenkeu also has held a non-deal road show to know the market conditions related to global bond issuance plan. The three countries used as reference to assess the perception of the market is Switzerland, Britain and the United States