INDONESIA - RATINGS - Fitch confirms ratings of Bank Muamalat A

www.kontan.co.id - JAKARTA. Fitch Ratings affirmed the National Long-Term ratings of PT Bank Muamalat Indonesia Tbk at level A with a stable outlook and ratings at BBB Muamalat subordinated bonds.
The ranking reflects Fitch's view of the limited opportunities of government support, providing Muamalat symbolic role in the development of Islamic banking in Indonesia. It also highlights assets that are small compared Muamalat domestic banking sector.
Fitch assess the weakness of government support for the bank could have a negative effect for rating Muamalat. Meanwhile, for the ranking of subordinated bonds, according to Fitch that could trigger a decline in lending was aggressive. Especially when affecting the asset quality deterioration and weakening of the capital. (source)

INDONESIA - RATNGS - Fitch rates Bank Mualat A (idn)

www.investor.co.id - JAKARTA - Rating agency Fitch Ratings assign ratings (rating) Long-term Indonesia Tbk, PT Bank Muamalat at level A (idn) with a stable outlook, as well as subordinate debt rating at BBB level (idn).
Fitch assessed, the possibility is supported by the State Bank Muamalat is very small, because the bank already has a symbolic role in the development of Islamic banking in Indonesia. On the other hand, Fitch recognizes Muamalat assets is still relatively small compared to the domestic banking sector.
Until late last year, Bank Muamalat has 25 percent share of the total assets of Islamic banking. However, when compared to the total domestic industry (including conventional bank assets), only 1.1 percent. (source)

INDONESIA - CAPITAL MARKETS - Indonesia to sell US$106.4-M Islamic Bond

www.livetradingnews.com -Indonesia is scheduled to sell sovereign Islamic bond on 26 June at indicative value of 1-T Rupiah (about US$106.4-M), aiming at financing the state budget this year, a statement released by the financial ministry said Wednesday.
The sale of the Islamic bond would be conducted through auction basis, to sell 4 series of the bond, maturing from Y’s 2018 to 2037 and providing rate of returns between 4.45 to 6.10%.
In its revised budget this year, Indonesian government has proposed to raise net bond sales by 25-T Rupiah to 159.6-T Rupiah this year due to widening budget deficit.  (source)

INDONESIA - BANKING -Fitch: New Rules to Boost Indonesian Consumer-Loan Asset Quality

www.theindonesiatoday.com - JAKARTA, Indonesia Today - New consumer finance rules in Indonesia that cap the maximum loan-to-value on auto loans and mortgages are likely to improve underwriting quality and slow lending growth, says Fitch Ratings. 
The impact will be felt mainly on non-bank finance companies, which are more active than banks in higher-risk lending.
The consumer finance regulation - set to come into force on June 15 - stipulates a minimum downpayment for motorcycles and cars of 25% for loans from financing companies and 30% for loans from banks. Some finance companies were offering motorcycle loans with zero downpayments, and this has led to an increase in delinquencies. As a result, the regulator is concerned that poor underwriting has resulted in a deterioration in asset quality at some finance companies.  (source)

INDONESIA - RATINGS - Fitch Assigns Positive Outlook to Indonesia’s BB+ Ratings (Feb 2011)

www.bi.go.id - Fitch Ratings has today (February 24, 2011) affirmed Indonesia’s long-term foreign and local currency issuer default ratings (IDRs) at ‘BB+’ and revised the outlooks on both to Positive from Stable.

The Governor of Bank Indonesia, Darmin Nasution said that the establishment of a positive outlook on the Republic’s sovereign credit rating in the midst of inflationary pressure risks and current economic challenges, reflects international confidence in the credibility of economic authority in managing the economy of Indonesia. Indonesia is only one step away toward the investment grade category. Indonesia has been proven to remain strong during the difficult times and supported by sound macroeconomic fundamentals as well as increasing level of investment to support further growth so that Indonesia will be able to catch up the gap to immediately enter the investment grade sovereign rating category.  (source)

INDONESIA - RATINGS - Fitch Rating Upgraded Indonesia to Investment Grade (Dec 2011)

www.bi.go.id - Today, December 15, 2011 Fitch Ratings the official rating agency of the Republic of Indonesia, upgraded Indonesia's sovereign credit rating, to BBB- level for foreign currency long-term senior debt, with stable outlook.


Philip McNicholas, Director in Fitch Asia-Pacific Sovereign Ratings group mention in the press release, rationale behind the upgrade is Improved economic performance, strenghtened external liquidity, low and declining public debt ratios, and a prudent overall macro policy framework.  (source)

INDONESIA - RATINGS - Indonesia's Debt Rating Gets a Boost From Moody’s

Moody’s Investors Service raised Indonesia’s sovereign debt rating on Wednesday to investment grade following Fitch Ratings’ similar move last month.

Moody’s raised the nation’s foreign and local currency bond ratings to Baa3 from Ba1 with a stable outlook. Indonesia lost its investment-level rating in late 1997, when the financial crisis pushed the country to devalue the rupiah.  (source)

INDONESIA - CAPITAL MARKETS - Indonesian Debt Rating Outlook Brighter in Wake of Land Bill

Singapore. Legislation aimed at speeding up infrastructure projects will improve Indonesia’s chance of a debt-rating upgrade, says Moody’s Investors Service, as yields on the country’s Islamic bonds near a three-month low.

The yield on the sukuk due in 2014 fell the most in five quarters in the three months until Dec. 31, dropping 85 basis points to 2.96 percent. (source)

INDONESIA - RATINGS - Officials Say Fitch Upgrade Will Boost Investment Here

Indonesia expects cheaper financing costs when it sells dollar-denominated conventional bonds and global Islamic bonds next year after a rating agency raised the country’s sovereign debt rating to investment grade.

“Definitely we expect a better price,” said Rahmat Waluyanto, director general of the debt management office at the Finance Ministry in Jakarta.  (source)

INDONESIA - RATINGS - Rupiah, Bonds Gain as Fitch Upgrades Rating to Investment Grade

Dec. 16 (Bloomberg) -- Indonesia’s rupiah had its first weekly gain since October after Fitch Ratings upgraded the country to investment grade, fueling optimism foreign funds will add to their holdings of the nation’s debt. Bonds advanced.  (source)

INDONESIA - RATINGS - Fitch upgrades Bank Syariah Mandiri to 'AA+(idn)'/Stable

(The following was released by the rating agency)

JAKARTA/SINGAPORE, December 12 (Fitch) Fitch Ratings has upgraded PT Bank Syariah Mandiri's (BSM) National Long-Term rating to 'AA+(idn)' from 'AA(idn)'. The Outlook is Stable.

Its subordinated bond I/2007 has also been upgraded to 'AA(idn)' from 'AA-(idn)'. At the same time, the agency has assigned BSM's proposed Islamic subordinated bond totalling up to IDR500bn with a maturity of up to 10 years a 'AA(idn)' rating. (source)

INDONESIA - CAPITAL MARKETS - Gobal sukuks oversubscribed at 6.5 times

JAKARTA: The offering of global sharia bonds amounting to US$1 billion was oversubscribed at 6.5 times or US$6.5 billion from 250 investors.

Directorate General of Debt Management Rahmat Waluyanto stated the government through special purpose vehicle, who issued Indonesia SBSN 2, had conducted pricing of the global sharia bonds worth US$1 billion mature in 7 years. “The yield is 4%.”

“The transaction is the follow-up to meeting with Middle East investors last October.”  (source)

WORLD - RATINGS - Fitch afrms Islamic Development Bank at 'AAA'/'F1+'

Nov 16- Fitch Ratings has affirmed the Islamic Development Bank's (IDB) Long-term Issuer Default Rating (IDR) at 'AAA' with a Stable Outlook and Short-term IDR at 'F1+'.

The ratings primarily reflect IDB's strong capitalisation. The bank is one of the most highly capitalised multilateral development banks (MDBs) rated by Fitch. The equity to assets ratio has remained above 65% since inception (70.7% at end-1431H, equivalent to 6 December 2010 in the Gregorian calendar). The IDB also maintains comfortable liquidity and compliance with Sharia'h principles induces extremely low leverage (21.3% at end-1431H). (source)

INDONESIA - CAPITAL MARKETS - Investment grade in sight on successful global sukuk sale

The government’s successful selling of US dollar-denominated Islamic bonds known as sukuk at a cheaper rate signals declining risks of investing in Indonesia.

Even more convincing, the sukuk sales came amid global financial market uncertainty, bringing the country closer to an investment grade rating. (source)

INDONESIA - CAPITAL MARKETS - Demand global sukuk Indonesia exceeds U.S. $ 6.5 billion

JAKARTA: The Global Sukuk deals worth U.S. $ 1 billion was oversubscribed 6.5 times as much or U.S. $ 6.5 billion from 250 investors.

 
Director General of Debt Management Rahmat Waluyanto MoF said that the Government of Indonesia through Indonesia SBSN SPV Publishing Company 2 has made pricing USD Global Sukuk worth U.S. $ 1 billion with a tenor of 7 years yesterday.

'Price' at par 'at yield or coupon of 4%, "he said via instant message, this afternoon. (source)

INDONESIA - RATINGS - Translate from: English ITS II achieve rated BB + (exp) from Fitch

JAKARTA: Fitch Ratings assign ratings SBSN Publishing Company PT Indonesia II (ITS II) and the global sukuk to be issued at the level of BB + (exp).

The Fitch ratings research today shows that rank equivalent to a rank long-term government debt and foreign denominated global bonds already issued. (source)

INDONESIA - RATINGS - Fitch Rates Indonesia's PPSI-II Sukuk 'BB+(exp)'

Theindonesiatoday.com - Fitch Ratings has on Tuesday (October 11) assigned Perusahaan Penerbit SBSN Indonesia II's (PPSI-II) upcoming global certificates (sukuk) an expected 'BB+(exp)' rating. 

The rating is in line with the Republic of Indonesia's Long-Term Foreign Currency Issuer Default Rating of 'BB+', which has a Positive Outlook. (source)

RATINGS - Rupiah Advances After Fitch Raises Indonesia’s Rating Outlook

Indonesia’s rupiah gained on Friday after Fitch Ratings raised its outlook on Southeast Asia’s biggest economy to positive from stable.

The company affirmed its BB+ grade on the nation’s local- and foreign-currency debt yesterday, one step below investment grade. The rupiah has advanced 1.3 percent this year, the best performance among Asia’s 10 most-traded currencies, as official data show overseas funds increased holdings of Indonesian government bonds by 2 percent from the end of last year to 199.8 trillion rupiah ($22.6 billion) as of Feb. 22. (source)