INDONESIA - CAPITAL MARKETS - Bank Indonesia sells SBI debt

economictimes.indiatimes.com - JAKARTA: Indonesia's central bank sold its nine-month SBI debt on Thursday at a 5.03858 percent rate, lower than 5.22412 percent in last month's auction, absorbing liquidity more than expected.

Bank Indonesia (BI) also sold its nine-month sharia SBI debt at the same rate. It sold 27.29 trillion rupiah ($3.02 billion) of SBIs and 382 billion rupiah of sharia SBIs.

BI kept its benchmark overnight rate at a record low 6 percent on Thursday as anticipated, pausing because it expects recent rate cuts to help to stimulate the domestic economy next year as global growth slows.(source)

FINANCIAL MARKETS - BI absorbs IDR26.87 trillion from SBI auction

JAKARTA: Indonesian central bank, Bank Indonesia, absorbed IDR26.87 trillion from the auction of Certificate of Bank Indonesia (SBI).

Nonetheless, a significant number of fund was left unabsorbed since the indicative target had been met. Based on the auction results on 12 January 2011, BI determined the indicative target of IDR25 trillion for SBI maturing in 6 months and 9 months, as it also set IDR2 trillion indicative target for Sharia SBI due 6 months.

Bank Indonesia successfully derived IDR5 trillion from the six-month term SBI with 6.1% yield. The offering value of the government notes in fact reached IDR38.82 trillion.