Demand in the 14-Apr conventional bond auction strengthened as expected, supported by ample liquidity following the maturity of FR086 (Rp134.5tn) and improved foreign participation. Total incoming bids rose by +34.7% to Rp78.4tn (vs. Rp58.2tn previously; YTD avg.: Rp71.6tn), marking the highest level since January and within our forecast range of Rp70tn 80tn.
By series, demand was heavily concentrated in the 4.9-yr FR109, which attracted Rp44.4tn (vs. Rp19.9tn previously), accounting for 56.6% of total bids. Both onshore and offshore participation improved, although domestic investors continued to dominate overall demand. Onshore bids increased to Rp62tn (vs. Rp50.9tn previously), while offshore bids surged to Rp16.4tn (vs. Rp7.4tn)-the highest level so far this year. Notably, foreign awards rose significantly to Rp10.2tn (vs. Rp5.4tn), equivalent to 61.9% of offshore bids, indicating more aggressive foreign bidding behavior.
In line with strong demand, the government issued Rp42tn, above the initial target of Rp36tn and higher than Rp40tn previously. The weighted average cost of funds declined to 6.03% (vs. 6.49% previously), while the average tenor shortened to 6.5 years (vs. 9.9 years). Year-to-date, total gross government bond issuance has reached Rp548.1tn, or around 35% of the FY2026 financing target.
Despite strong auction results, secondary market performance remained relatively stable. INDOGB yields were broadly sideways, with continued foreign inflows of +Rp6.6tn (vs. +Rp0.7tn prior). The 5-yr FR109 yield declined to 6.25% (-3.5 bps), while the 10-yr FR108 edged up to 6.59% (+1.0 bps). Longer tenors were mixed, with the 15-yr FR106 at 6.71% (-0.6 bps) and the 20-yr FR107 at 6.67% (+1.0 bps). Offshore indicators improved, with Indonesia s 5-yr USD bond yield falling to 4.61% (-8.7 bps) and the 5-yr CDS tightening to 85.74 (-1.04 bps). However, the rupiah remained under pressure, depreciating by -0.15% to Rp17,129/USD (-2.59% YTD).
Trading activity strengthened significantly, with government bond turnover rising to Rp40.6tn (vs. Rp23.6tn prior), above both weekly and YTD averages. The FR109 led trading with Rp15.7tn, followed by FR108 (Rp4.8tn) and FR104 (Rp4.1tn). From a positioning perspective, foreign ownership in government bonds increased slightly to Rp860.4tn (12.62% of outstanding), based on the latest DMO data. However, YTD flows were still dominated by domestic investors led by insurance companies and pension funds (+Rp75.9tn), banks (+Rp61.9tn), and Bank Indonesia (+Rp54.6tn). Foreign and retail investors have remained net sellers on a YTD basis.
On the equity side, the JCI extended its rally, in line with regional markets, rising by +2.34% to 7,676, trimming YTD losses to -11.23%, supported by improving sentiment and easing oil prices. However, foreign investors recorded a slight net outflow (-Rp30.8bn), suggesting a more cautious stance in equities despite continued support in the bond market. Regionally, Asian equities closed broadly higher, with the Nikkei 225 (+2.4%) and KOSPI (+2.7%) leading gains.
Domestic Corp Bond Market
On the corporate side, trading activity moderated on Tuesday (14-Apr), with total volume improving to Rp9.2tn (vs. Rp5.7tn on 13-Apr). Turnover came in above the prior week s daily average of Rp8.6tn and the 2026 YTD average of Rp7.3tn.
The SMOPPM02ACN1 series (maturing on 25-Mar-28), rated idA+(sy), was the most actively traded with a total volume of Rp390bn. Its price declined to 103.17 (-1.27%), while the yield rose to 8.22% (+71.18 bps). This was followed by the PALM02BCN3 series (maturing on 18-Sep-27), rated idA with a volume of Rp397bn. Its price rose to 103.18 (+2.19%), while the yield declined to 5.66% (-161.13 bps). Close behind was the SIBALI01BCN3 series (maturing on 5-Dec-28), rated idAAA(sy) with a volume of Rp333bn. Its price increased to 96.09 (+0.44%), while the yield declined to 8.92% (-18.31 bps).
Pefindo has affirmed idAAA rating with stable outlook to Lembaga Pembiayaan Ekspor Indonesia (Indonesia Eximbank) as well as its Shelf Registered Bond III and Shelf Registered Bond IV. The rating is mainly driven by the very strong likelihood of support from the Government of Indonesia. Indonesia Eximbank s standalone credit profile reflects its very strong capitalization profile and strong liquidity and financial flexibility. Meanwhile, the rating is constrained by its very weak asset quality and profitability indicators.
Pefindo has affirmed idAA rating with stable outlook to PT Aneka Tambang (Persero) Tbk (ANTM). The rating is mainly driven by the very strong likelihood of support from its parent, PT Mineral Indsutri Indonesia (Persero) (MIND ID). ANTM s standalone credit profile reflects sizeable reserves and resources, a very strong financial profile, and diversified products. Meanwhile, the rating is constrained by risks related to expansion, exposure to fluctuating commodity prices and adverse weather, as well as exposure to regulatory changes and macroeconomic conditions.
