Indonesia gets innovative in raising US$62 bil to finance virus fight

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Country's budget deficit is set to swell by almost threefold to 853 trillion rupiah this year, or 5.07% of GDP. FMTNews Coronavirus

Finance Minister Sri Mulyani Indrawati is employing a clutch of rarely used financing tools.

The government’s debt managers pulled off the first 50-year dollar bond sale by an Asian country this week, raising US$4.3 billion in a multi-part dollar debt offering overseas. The exodus of foreign investors from rupiah bonds so far this year means this won’t be an easy option: the net outflow from bonds is already at US$8.6 billion, with foreign ownership dropping to 32% from about 39% at the end of last year.

 

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