Indonesian Government to Prepare Presidential Regulation Concerning COVID-19 Vaccination

The Government of Indonesia is currently preparing a draft presidential regulation (perpres) governing the procurement and distribution of the Covid-19 vaccine, a roadmap for vaccination, and a dashboard for tracing vaccine program. The total budget requirement for vaccines is IDR 37 trillion for the 2020-2022 period, with an estimated down payment of IDR 3.8 trillion in 2020. Meanwhile, the 2021 Draft State Budget has allocated 18 trillion for the vaccination program. (Investor Daily)

Bank Indonesia has disbursed Quantitative Easing (QE) of IDR 662.1 trillion year to date and it is possible that this policy will be continued until 2021. Governor of Bank Indonesia (BI) Perry Warjiyo said, that QE in January-April 2020 that was disbursed by BI was IDR 419.9 trillion. The stimulus included the purchase of SBN from the secondary market of IDR 166.2 trillion, term of bank repos of IDR 160 trillion, FX swaps of IDR 40.8 trillion, and a reduction in Rupiah Statutory Reserves (GWM) of IDR 53 trillion. (Investor Daily)

The government of Indonesia will hold an auction for Sovereign Sharia Securities (SBSN) or State Sukuk on Tuesday, September 29, 2020. The series to be auctioned are SPN-S 02032021 (reopening), PBS-026 (reopening), PBS-003 (reopening), PBS-025 (reopening), and PBS-028 (reopening). The indicative target of this auction is IDR 10 trillion.

Source: Danareksa Sekuritas Debt Research

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