Here's the Actual Yield Offered to Foreign Investors to Enter Indonesia
Bank Indonesia (BI) is continuing its efforts to attract foreign investor interest back into the domestic financial market. One method employed is maintaining the yield appeal of rupiah financial instruments. This appeal is evident in Bank Indonesia Rupiah Securities (SRBI), an instrument that has recently become BI’s mainstay for absorbing liquidity while attracting foreign capital inflows. In the latest auction, the yield on SRBI was observed to have risen quite significantly, thereby offering more attractive returns to investors, including foreign ones.
Head of Bank Indonesia’s Communications Department, Ramdan Denny Prakoso, stated that the increase in the BI-Rate to 5.50%, along with the strengthening of SRBI and Government Securities (SBN) yields, is beginning to receive a positive response from foreign investors. “This is reflected in the increased foreign capital inflows into SRBI instruments following the SRBI auction on 10 June 2026. Foreign capital inflows have also started to return in the SBN market, especially in short and medium tenors,” Ramdan said, as quoted on Friday (12/6/2026).
Looking at the results of the latest SRBI auction on 10 June 2026, the average winning yield for the 6-month tenor was recorded at 7.20%. The 9-month tenor stood at 7.35%, while the 12-month tenor reached 7.57%. These figures rose quite sharply compared to the previous auction results on 5 June 2026. At that time, the average winning yield for the 6-month tenor was still at 6.90%, the 9-month tenor at 7.04%, and the 12-month tenor at 7.25%. This means that in just a five-day gap, SRBI yields rose by around 30-32 basis points (bps) across all tenors.
With higher yields, SRBI becomes increasingly attractive to foreign investors, as they can obtain greater returns when placing their funds in rupiah instruments. The rise in yields is not limited to SRBI; it is also visible in the SBN market. On 10 June 2026, the 10-year SBN yield was at 7.479%, while the 30-year tenor was at 7.451%. These levels increased significantly compared to the end of May 2026, when the 10-year SBN yield was still at 6.695% and the 30-year tenor at 6.956%. Consequently, the 10-year SBN yield rose by approximately 78.4 bps, while the 30-year tenor rose by about 49.5 bps. This increase makes government debt instruments more attractive to investors seeking high returns.
It should be noted that rising yields do not only bring positive news. On one hand, higher yields can help attract foreign capital flows and support rupiah stability. On the other hand, the increase in SBN yields could also raise the government’s future debt financing burden. Going forward, BI affirms it will continue to monitor global and domestic financial market developments. BI will also maintain the attractiveness of domestic financial instruments to support foreign capital inflows. In addition, BI will optimise rupiah exchange rate stabilisation measures through Non-Deliverable Forward (NDF) interventions in the offshore market, as well as spot and Domestic Non-Deliverable Forward (DNDF) transactions in the domestic market in a consistent and measured manner.