Samurai bonds are expected to rise the first semester
Portfolio March 16th, 2010
The government hopes the publication of yen-denominated government bonds (Samurai bonds) of U.S. $ 750 million-US $ 1 billion to guarantee Japan Bank for International Cooperation (JBIC) can be done in semester I/2010.
Coordinating Minister Hatta Rajasa said the government was doing discussions with Japan about when samurai bond issuance was. “We hope soon. Discussion has begun. If we expect the semester I/2010 done,” he said today.
According to him, the Japanese government is very concerned the development of economic corridors in Indonesia so that the samurai bond issuance can be realized.
“In a conversation yesterday, including my conversation with Naoshima [Minister of Industry of Japan], there is the desire of Japan to develop the economic corridor that is felt is an important component of infrastructure to encourage investment,” he said.
Hatta said earlier that granting warrants for the issuance of Samurai bonds is one form of cooperation Indonesia-Japan. Issuance of this year will be a continuation of the utilization of JBIC’s guarantee facility emissions last year after U.S. $ 350 million.
Finance Minister Sri Mulyani Indrawati himself argued the agenda for the Samurai bond issue this year has become government consideration. The amount must be adjusted to the 2010 state budget financing needs that can still change.
Government use of the Samurai bond issuance guarantee facility of JBIC for the Japanese development bank is rated AAA. The total value of the guarantee provided the Government of Japan through JBIC is U.S. $ 1.5 billion.
