Video: Turbulent 2026, Indonesian Corporate Debt Issuance to Decline

Jakarta, CNBC Indonesia - Indonesia’s leading rating agency, PT Pemeringkat Efek Indonesia (Pefindo), has shared its perspective on Fitch Ratings’ decision to downgrade Indonesia’s debt outlook to negative.

Pefindo’s Rating Director, Hendro Utomo, stated that Fitch Ratings’ decision relates to Indonesian government policies that pose institutional risks, including diminished predictability in government decisions, public officials’ statements that raise investor doubts, and the centralisation of policy-making that will reduce checks and balances.

Additionally, investors perceive uncertainty in Indonesia due to policies and fiscal discipline being tested in the pursuit of high growth targets, as this could impact the state budget deficit.

Facing these conditions, Pefindo assesses the prospects for corporate bond issuance as still quite good in 2026, at around Rp 175 trillion, although this figure is not as strong as in 2025.

What is Pefindo’s view on the prospects for Indonesian bond issuance amid various global turbulences, including Fitch Ratings’ downgrade of Indonesia’s debt outlook? For more details, watch the dialogue between Andi Shalini and Pefindo’s Rating Director, Hendro Utomo, in Power Lunch, CNBC Indonesia (Tuesday, 17/03/2026).