Indonesian government bonds (INDOGBs) extended their rally on Wednesday (11-Feb), with yields trending lower across tenors, supported by a sharp reversal in foreign flows. After 4 consecutive days of net outflows, foreign investors returned to the market with sizable net inflows of +Rp3.88tn (vs. -Rp0.36tn previously). According to Bloomberg, the 5-yr FR109 yield declined to 5.73% (-2.6 bps), the 10-yr FR108 to 6.42% (-1.8 bps), the 15-yr FR106 to 6.63% (-0.6 bps), and the 20-yr FR107 to 6.70% (-0.2 bps). Offshore indicators were mixed. Indonesia s 5-yr USD sovereign yield fell further to 4.36% (-3.6 bps), while the 5-yr CDS widened to 78.53 bps (+1.05 bps), reflecting cautious sentiment despite onshore bond strength. Meanwhile, the rupiah continued to appreciate modestly, strengthening by +0.09% to Rp16,784/USD (vs. +0.05% prior; YTD: -0.53%), supported by improved bond flows and a softer global USD environment.
According to IDX s OTC trading report, Indonesian government bond trading activity moderated on Wednesday (11-Feb), with total volume fell to Rp22.1tn (vs. Rp35.6tn prior; or YTD avg.: Rp32tn). The 5-yr FR0087 series (maturing on 15-Feb-31) led market activity, recording Rp1.9tn in trading volume. Its price edged up to 103.05 (+0.10%), while the yield declined to 5.79% (-2.31 bps). This was followed by the 4.4-yr FR0104 series (maturing on 15-Jul-30), which recorded Rp1.7tn in trading volume. Its price rose to 102.90 (+1.53%), while the yield fell to 5.75% (-39.73 bps). Close behind, the 4.6-yr FR0082 series (maturing on 15-Sep-30), which recorded Rp1.6tn in trading volume. Its price inched up to 105.05 (+0.32%), while the edged lower to 5.73% (-8.32 bps).
Based on DMO data as of 9-Feb, foreign ownership of government bonds edged slightly lower to Rp888.3tn, equivalent to 13.25% of the total outstanding SBN. Year-to-date, onshore banks remained the largest net buyers (+Rp44.9tn), followed by insurance and pension funds (+Rp34.2tn) and other investors (+Rp24.4tn, mainly private placements). Mutual funds (+Rp18.7tn), foreign investors (+Rp9.6tn), and Bank Indonesia (+Rp7.1tn) also recorded net purchases, while retail investors continued to post net selling of -Rp3.5tn.
Meanwhile, the Jakarta Composite Index (JCI) extended its rally, rising +1.96% to 8,290.97, trimming year-to-date losses to -4.12%. The daily turnover increased to Rp29.7tn (vs. Rp20.3tn prior), though still slightly below the YTD average of Rp31.8tn. Foreign investors remained net sellers in equities at -Rp526.4bn (vs. -Rp708bn prior; YTD: -Rp12.97tn). Regionally, Asian equities also closed mostly higher with a modestly positive bias as investors positioned cautiously ahead of upcoming global economic data releases.
Domestic Corporate Bonds
On the corporate side, trading activity moderated on Wednesday (11-Feb), with total volume declining to Rp4.5tn (vs. Rp5.0tn on 10-Feb). Turnover came in above the prior week s daily average of Rp3.1tn, the 2026 YTD average of Rp 3.6tn.
The HIFI01BCN2 series (maturing on 11-Feb-29), rated idAA+, was the most actively traded with a total volume Rp350bn, marking its debut on the secondary market. It traded at 100.00, yielding 5.75%. This was followed by the HIFI01CCN2 series (maturing on 11-Feb-31), rated idAA+ with a volume of Rp254bn, which also traded for the first time in the secondary market. It traded at 99.92 and yielding 6.17%. Close behind was the SIPOST01BCN1 series (maturing on 8-Jan-30), rated A(idn) with a total volume Rp210bn. Its price slipped to 106.51 (-1.16%), while the yield inched up to 7.80% (+35.52 bps).
Pefindo has affirmed idAAA rating with stable outlook to PT Bank Syariah Indonesia (Persero) Tbk (Bank BSI). Pefindo has also affirmed idAAA rating to Bank BSI s Shelf Registered Sustainibility Sukuk Mudharabah I BSI Year 2024 and idAA(sy) rating to Bank s Sukuk Mudharabah Subordinated Medium Term BSI Year 2023. According to Pefindo, the rating is mainly driven by Bank BSI s very strong likelihood of support from the controlling shareholder (the Indonesian government), in addition to Bank BSI s standalone credit profile, which reflects a very strong liquidity and financial flexibility profile, while it is partially offset by tight competition and challenging macroeconomics conditions.
Fitch Ratings Indonesia has affirmed PT Sarana Multigriya Finansial (Persero) s (SMF) National Long-Term Rating at AAA(idn) with a Stable Outlook. Fitch has also affirmed SMF s National Short-Term Rating at F1+(idn) . The affirmation reflects Fitch s unchanged assessment of SMF s government support rating. Fitch continues to view SMF as having a high likelihood of extraordinary support from the Government of Indonesia, if required, given its strategic role in advancing the government s affordable housing agenda and its central function in developing Indonesia s secondary mortgage market. SMF plays a critical role in providing liquidity to primary mortgage lenders and promoting long-term funding solutions for the housing sector. Its policy mandate and close linkage with the government underpin Fitch s view of strong state support propensity. Consequently, SMF s ratings remain positioned at the highest level on the national rating scale.
