Inflation Control and Financial Facilities Strategy
Republic of Indonesia - USD3.1bn Equiv. Dual-Currency Offering
On January 7, 2020, the Republic of Indonesia priced a transaction comprising EUR1 bn and USD2 bn in senior unsecured notes.
Issuer
Issuer Rating
Exp. Issue Rating
Issue
Aggregate Size
Maturity
Tranche Size
Coupon
Reoffer Price
Reoffer Yield
Benchmark
(Yield)
Republic of Indonesia
Baa2 Moody's (Stable)
BBB S&P (Stable) BBB
Fitch (Stable)
Baa2 (Moody's) / BBB (S&P) / BBB (Fitch)
U.S. SEC-registered shelf takedown
Fixed rate senior unsecured
notes
EUR 7-year
February 14, 2027
EUR1,000 mm
0.900% p.a.
(ACT/ACT)
99.638%
0.953% p.a.
€MS (-
0.077%) DBR
02/15/27 (-
USD3,100 mm
equiv.
USD 10-year
February 14, 2030
USD1,200 mm
2.850% p.a.
(30/360)
99.737%
2.880% p.a.
UST 10 (1.828%)
USD 30-year
February 14, 2050
USD800 mm
3.500% p.a.
(30/360)
99.077%
3.550% p.a.
Old UST 30 (2.311%)
Transaction Highlights
Leveraged a brief market window of stability to price inside fair
value levels by 1 bp for the EUR tranche and at a de minimis
concession inside 1 bp for the 10- and 30-year USD tranches
Record-low yields, spreads, and coupons by EUR and USD
financing by the Gol in each tenor
High-quality and price-insensitive demand allowed compression of
27 bp for the EUR tranche and 25 bp and 20 bp for the 10-
and 30-year USD tranches, respectively
Harnessed a particularly strong bid for duration to price
benchmarks which prompted a rally in the long-end of
Indonesia's curve once the new bonds were freed to trade
TotalIndications.
TotalAlecadens
Number al
Chaplin
EUR 7-year
ELA3,920
ELA1,000
Ally Go
17%
20%
3
זיו
W
USD 10-pr
509 800
UBO 200mm
3d
IFE WE Fad and A
20%
UBC 30-your
J8DQ 100mm
US
134
2la
Spread to
Benchmark
0.446%)
€MS + 103
bp DBR +
Allocation by Typ:
+ 105.2 bp
+123.9 bp
239.9 bp
Denominations
Listing/Law
EUR100k /EUR1k
USD 200k/1k
USD 200k/1k
Use of Proceeds
Source: Ministry of Finance
Singapore, Frankfurt Open Market listing / New York
law
For general purposes, including to partially
fund general financing
requirements
15
15
5%
■ MoreS
B
11%
15
31%
60%
W4
21%
Pension Fics Wouds
■Fit Bank and
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