The Indonesian rupiah-denominated assets closed mixed on Thursday (21-Aug), one day after BI surprised with a rate cut of 25 bps. The JCI fell -0.67% to 7,890.72 after a strong +1.03% gain the previous day (YTD: +12.3%). The turnover posted Rp20.2tn, above the YTD average of Rp13.9tn, while foreign investors posted another day of net inflows, amounting to +Rp681.6bn (vs. +Rp766.8bn), trimming the YTD net outflows to -Rp52.9tn. Regionally, Asian equities were mixed as investors turned defensive ahead of key geopolitical and central bank events. Japan s Nikkei 225 Index slipped -0.65% to 42,610.17, while China s Shanghai Composite Index edged up +0.13% to 3,771.10.
INDOGB extended its rally, with yields falling across the curve. Foreign inflows accelerated to Rp2.35tn (vs. +Rp0.2tn prior), concentrated in non-benchmark series. On Bloomberg s closing quotes, the 5-yr FR104 traded at 102.91 (yield: 5.81%, -3.4 bps), the 10-yr FR103 at 103.15 (yield: 6.32%, -5.9 bps), the 15-yr FR106 at 103.92 (yield: 6.71%, -5.3 bps), and the 20-yr FR107 at 103.44 (yield: 6.81%, -0.9 bps). Meanwhile, Indonesia s 10-yr USD Mar-2031 bond eased to 87.24 (yield: 4.47%, +3.2 bps), while the 5-yr CDS tightened slightly to 67.6 (-0.1 bps). The rupiah was little changed, closing at Rp16,285/USD (YTD: -1.1%)
According to IDX s OTC trading report, Indonesian government bond trading activity eased on Thursday (21-Aug), with total volume slipping to Rp38.4tn (vs. Rp42.2tn on 20-Aug). Despite the decline, the figure still exceeded the prior week s daily average of Rp36.2tn, the 2025 year-to-date (YTD) daily average of Rp30.8tn, and the 2024 daily average of Rp21.7tn. The 5-yr FR0104 series (maturing on 15-Jul-30) dominated market flows, recording a trading volume of Rp9.2tn (vs. Rp8.4tn previously). Its price firmed to 103.00 (+0.47%), driving the yield lower to 5.79% (-11.25 bps). This was followed by the 10-yr FR0103 series (maturing on 15-Jul-35), which booked Rp7.4tn in trading volume. The bond s price inched up to 103.30 (+0.48%), pushing the yield down to 6.30% (-6.62 bps).
Foreign ownership of government bonds increased to Rp953tn (14.95% of outstanding) as of 19-Aug. YTD, BI has been the largest net buyer (+Rp118.7tn), followed by foreign investors (+Rp76.3tn), onshore banks (+Rp65.1tn), retail (+Rp30.7tn), insurance and pension funds (+Rp30.1tn), other investors (+Rp9.7tn), and mutual funds (+Rp5tn).
Domestic Corp Bond Market
On the corporate side, trading activity declined sharply on Thursday (21-Aug), with total volume plunging to Rp1.45tn (vs. Rp6.0tn on 20-Aug). The figure fell below the prior week s daily average of Rp3.0tn, the 2025 YTD average of Rp3.94tn, and the 2024 daily average of Rp2.05tn.
The SMMA02CN4 series (maturing on 7-Mar-33), rated irAA, led the segment with a trading volume of Rp141bn. The bond s price was broadly unchanged at 121.11 (+0.01%), yielding 6.89% (-0.24 bps). This was followed by the BBNI01ASLCN1 series (maturing on 4-Jul-28), rated idAAA, which posted a trading volume of Rp118bn. Its price rose to 101.36 (+0.41%), bringing the yield down to 6.08% (-15.65 bps).
Pefindo has assigned idAA- rating with a stable outlook to PT Bank Pembangunan Daerah Jawa Tengah (Bank Jateng). Accoridng to Pefindo, the rating reflects Bank Jateng s very strong business position supported by its captive market, as well as very strong capitalization indicators and liquidity profile. Meanwhile, the rating is constrained by its high non-performing loans (NPL) from the productive loan segment and concentrated funding profile.
Fitch Ratings Indonesia has revised the Outlook on Indonesian telecommunication tower company PT Bali Towerindo Sentra Tbk’s National Long-Term Rating to Positive from Stable and affirmed the rating at ‘A-(idn)’. Fitch has also affirmed Bali Tower’s Rp2tn sukuk ijarah programme and the outstanding sukuk issued under the programme at ‘A-(idn)’. According to Fitch, the Outlook revision reflects Fitch s expectation that Bali Tower’s EBITDA net leverage is likely to remain below 4.0x in the medium term. This is even after Fitch incorporating its estimated impact of the merger of two telecom companies into PT XLSMART Telecom Sejahtera Tbk (BBB-/AA+(idn)/Stable). Fitch believes growth in the non-tower segment will offset the decline in its tower business caused by the merger.
Fitch Ratings has affirmed PT Japfa Comfeed Indonesia Tbk’s (Japfa) Long-Term Issuer Default Rating (IDR) at ‘B+’. The Outlook is Stable. Fitch has also affirmed the senior unsecured notes due 2026 at ‘B+’, with a Recovery Rating of ‘RR4’. Concurrently, Fitch Ratings Indonesia has affirmed the National Long-Term Rating at ‘A(idn)’ with a Stable Outlook. The affirmation reflects Fitch s expectation that EBITDA net leverage, after proportionately consolidating some subsidiaries, will remain comfortable for its rating at below or around 2.5x (1.5x: 2024) in the medium term, based on favourable raw material prices and poultry demand. This also includes Fitch s expectation of an increasing dividend payout, arising from reduced clarity on Japfa’s 55.4% stakeholder, Japfa Pte Ltd (JL). In addition, Japfa’s US dollar notes are likely to be refinanced with local bank loans of relatively less restrictive covenants.
Fitch Ratings Indonesia has affirmed PT Asuransi Artarindo’s National Long-Term Insurer Financial Strength (IFS) Rating of ‘A+(idn)’. The Outlook is Stable. According to Fitch, the rating reflects Artarindo’s ‘Moderate’ company profile, satisfactory capitalisation and prudent investment strategy, balanced by lower profitability and dependence on reinsurance.
