Pefindo Projects Solid Corporate Bond Issuance in Second Half

PT Pemeringkat Efek Indonesia (Pefindo) projects that corporate bond issuance will remain at a solid level throughout the second half of 2026, driven by high refinancing needs from issuers in the Indonesian capital market. Pefindo forecasts corporate bond issuance will remain in the range of Rp154 trillion to Rp196.86 trillion, with a midpoint of Rp175.77 trillion throughout 2026, following realised issuance of Rp87.35 trillion up to the first half of 2026. “So, so far Pefindo’s projection since the beginning of last year is still inline,” said Suhindarto, Head of Pefindo’s Economic Research Division, during a press conference in Jakarta on Wednesday. Suhindarto explained that one of the factors supporting corporate bond issuance in the second half of 2026 is the high refinancing needs of issuers in the Indonesian capital market. Pefindo noted that the value of corporate bonds maturing in the second half of 2026 reaches Rp107.5 trillion, nearly double the approximately Rp55 trillion recorded in the first half of 2026. “If the maturing bonds remain high, this could drive corporate bond issuance in the second half, as the need for refinancing to cover these maturing bonds is also high,” Suhindarto stated. He assessed that this condition creates a more conducive climate for the corporate bond market, coupled with strong investor appetite for corporate bonds. Furthermore, amid the pressures that continue to overshadow the stock market throughout 2026, Suhindarto noted that bond instruments offer more attractive yields, potentially serving as an alternative investment for investors. However, he cautioned that several challenges could limit corporate bond issuance in the second half of 2026, including global geopolitical risks, the rising trend of US Treasury yields, and the potential persistence of high benchmark yields due to tight interest rates. Other challenges include pressure on the rupiah exchange rate, increased issuance of Government Securities (SBN), and competition with Bank Indonesia Rupiah Securities (SRBI) instruments.