Indonesia to auction $10 trillion in Islamic bonds this week

Indonesia's Ministry of Finance is set to auction eight series of state Islamic bonds, known as Sukuk Negara, on Tuesday, July 14, 2026. The government aims to raise 10 trillion rupiah through this offering, which includes both Sharia Treasury Bills (SPN-S) and Project Based Sukuk (PBS) series.

The auctioned series include SPNS08092026, SPNS03022027, and SPNS12042027, all with discount yields. Additionally, PBS030, PBS040, PBSG002, PBS034, and PBS038 are being offered, with PBS038 presenting the highest yield at 6.87500 percent and PBS040 offering the lowest at 5 percent.

Recent sukuk auctions have seen varied investor interest. The auction on June 30, 2026, saw a weighted average yield between 6.85000 percent and 7.23851 percent, a slight increase from the June 17, 2026 auction, which ranged from 6.75000 percent to 7.21325 percent. However, total investor bids for the June 30 auction dropped to 15.91 trillion rupiah, a decrease of 3.23 trillion rupiah compared to the 19.14 trillion rupiah received on June 17.

The auction will open at 9:00 AM Western Indonesia Time and close at 11:00 AM, with results announced the same day. Settlement is scheduled for July 16, 2026. The auction will be conducted through Bank Indonesia as the agent, using an open auction system with a multiple price method, allowing both individual and institutional investors to participate through primary dealers.