Investor demand and market conditions
Demand from international investors exceeded the amount offered in each of the three series, according to the Finance Ministry's Directorate General of Financing and Risk Management, known as DJPPR. The ministry reported oversubscription of 3 times for the three-year series, 2.9 times for the five-year series and 2.2 times for the 10-year series.
The ministry said it conducted the sale amid favorable conditions in global financial markets and positive sentiment following the U.S. midterm elections. DJPPR attributed the interest from investors across different regions to confidence in Indonesia's economic fundamentals, citing solid growth, prudent fiscal management and credible monetary policy.
Terms, yields and listings
The offering uses the RegS/144A Trust Certificate format. Its smallest series, SNI1129, totals $500 million and has a three-year term ending November 13, 2029. Its yield is 5.45%, compared with initial guidance of about 5.70%, according to Reuters' term sheet reported by CNBC Indonesia and Bloomberg on November 5-6, 2026.
The five-year SNI1131 series totals $1 billion, matures on November 13, 2031, and yields 5.85%, below initial guidance of about 6.10%. The largest series, the $1.5 billion, 10-year SNI1136, matures on November 13, 2036. Its yield was set at 6.25%, against guidance of about 6.55%.
Each series carries a coupon equal to its yield. The ministry's timetable calls for pricing on November 6, 2026, and settlement on November 13, 2026.
All three series are to be listed on the Singapore Exchange and Nasdaq Dubai, CNBC Indonesia reported on November 6, citing Reuters' term sheet. Moody's assigned them a Baa2 rating, while S&P Global Ratings and Fitch Ratings each assigned BBB.
Indonesia's sixth international transaction this year
The sukuk sale brings the government's international financial market transactions in 2026 to six. The preceding five were conventional debt offerings denominated in U.S. dollars, euros, offshore yuan (CNH), Japanese yen and Chinese yuan (CNY).
Bloomberg reported on November 5 that this was Indonesia's first dollar bond issuance since MSCI Inc. warned that it might remove the country's equities from its global indexes.
The joint lead managers and joint bookrunners were BofA Securities, Dubai Islamic Bank, HSBC, J.P. Morgan and KFH Capital Investment Company. Co-manager roles went to BRI Danareksa Sekuritas, BNI Sekuritas and Trimegah Sekuritas Indonesia.
A major issuer in the global sukuk market
Indonesia ranked third in cumulative sukuk issuance for 2001-2025, according to the IIFM Sukuk Report 2026. Its issuance totaled $237.93 billion, or 9.62% of the global total, behind Malaysia's $1,080.77 billion (43.69%) and Saudi Arabia's $379.16 billion (15.33%).
Published September 15, 2026, and covering 2025 data, the report put global sukuk outstanding at $1.015 trillion, exceeding the $1 trillion mark. That total comprised $280.58 billion in international sukuk and $734.93 billion in domestic sukuk.
A Bank Indonesia economist cited in the report said Indonesia's cumulative sovereign sukuk issuance had reached IDR 3,560.53 trillion. As of August 2026, outstanding state sharia securities, known as SBSN, amounted to IDR 1,763.02 trillion.
