Indonesia issues CNY10 billion in Panda Bonds in China
Orders peaked at about CNY17.26 billion, with proceeds earmarked for Indonesia’s 2026 state budget financing needs.
Indonesia raised CNY10 billion through a Panda Bond issue on 10 November 2026, marking its second sale of yuan-denominated government debt in China’s domestic bond market, according to the Finance Ministry’s Directorate General of Budget Financing and Risk Management (DJPPR).
DJPPR said on 11 November that orders from Chinese domestic investors peaked at about CNY17.26 billion, giving the transaction a bid-to-cover ratio of 1.726 times. The directorate said investor demand enabled the government to obtain efficient funding costs through competitive yields.
The issue comprises three series with different maturities and coupons:
- RICNY1129: CNY5.7 billion with a three-year tenor and a 1.96 per cent coupon, maturing on 17 November 2029.
- RICNY1131: CNY3.7 billion with a five-year tenor and a 2.15 per cent coupon, maturing on 17 November 2031.
- RICNY1133: CNY600 million with a seven-year tenor and a 2.50 per cent coupon, maturing on 17 November 2033.
Proceeds will meet financing needs for the 2026 state budget, DJPPR said. The government described the sale as part of its strategy to diversify budget funding sources and broaden its international investor base and access to financial markets.
China Lianhe Credit Rating Co., Ltd. assigned the bonds an AAA (Stable) rating. Settlement is set for 17 November 2026, with China International Capital Corporation Limited serving as lead underwriter and lead bookrunner.
