Pramono: Rp 3.5 Trillion Regional Bond 'Not a Problem' for Jakarta

Jakarta Governor Pramono Anung Wibowo has asserted that the plan to issue regional bonds or debt securities worth Rp 3.5 trillion in June 2027 will not pose a problem for the Jakarta administration. He expressed confidence that the Jakarta government will be able to repay the regional bonds in due course. “Actually, the Rp 3.5 trillion bond is not an obstacle for Jakarta,” Pramono told reporters at Jakarta City Hall on Tuesday, 28 July 2026. According to Pramono, the value of the regional bond is not an issue. Therefore, he is still planning for the Jakarta government to issue regional bonds with a maximum tenor of seven years. “Jakarta will certainly be able to resolve this well, whoever becomes the governor of Jakarta,” said Pramono. The Indonesian Democratic Party of Struggle politician explained that regional bonds are a form of creative regional financing. He also claimed to have already received support and approval from the Coordinating Ministry for Economic Affairs regarding the bond issuance plan. Nevertheless, Pramono pledged to continue listening to input and suggestions regarding the plan to issue this regional financing instrument. “As Governor, I will certainly also listen to the input and suggestions from the Ministry of Home Affairs,” he said. He also confirmed he would discuss the plan further with Minister of Home Affairs Tito Karnavian. Previously, Tito Karnavian stated that the Ministry of Home Affairs is reviewing the DKI Jakarta Government’s plan to issue Rp 3.5 trillion in regional bonds next year. The former National Police Chief said the review is necessary because bonds are a debt instrument. The ministry therefore wants to ensure the capacity of Jakarta’s Regional Revenue and Expenditure Budget to repay the bonds without burdening the next regional head. “It must not become a burden for the next regional head,” Tito said at the Ministry of Finance office on Monday, 27 July 2026. He added that the Ministry of Home Affairs will discuss the regional bond issuance plan with the Jakarta Government.