The Indonesian government, through the Ministry of Finance (Kemenkeu), is preparing to auction eight series of State Sharia Securities (SBSN), commonly known as State Sukuk, on Tuesday, June 2, 2026. This upcoming auction is strategically designed to raise an indicative target of Rp 12 trillion.
According to information from the Directorate General of Budget Financing and Risk Management (DJPPR) of the Ministry of Finance, the SBSN series scheduled for auction encompass both State Treasury Sharia Securities (SPN-S) and Project-Based Sukuk (PBS). Among the eight series slated for bidding are SPNS13072026 (reopening), SPNS23112026 (reopening), and SPNS01032027 (new issuance). These three particular series are characterized by offering a discount yield.
Additionally, the auction will feature several other Project-Based Sukuk series, including PBS030 (reopening), PBS040 (reopening), PBS034 (reopening), PBS005 (reopening), and PBS038 (reopening). Notably, the PBS038 series is expected to attract significant interest, offering the highest yield at 6.87500 percent, while the PBS040 series presents the lowest yield among them, set at 5 percent.
However, recent data from DJPPR indicates a noticeable decline in investor interest in previous State Sukuk auctions. The total incoming bids for the SBSN auction held on May 19, 2026, reached only Rp 18.79 trillion. This figure represents a considerable drop when compared to the auction on May 5, 2026, which garnered bids totaling Rp 21.19 trillion.
The downward trend in investor participation becomes even more evident when looking further back to the sukuk auction on April 21, 2026. During that period, total incoming bids soared to Rp 33.5 trillion, from which the government successfully secured Rp 15 trillion.
The primary objective of these auctions is to partially fulfill the financing targets outlined within the 2026 State Budget (APBN). With an indicative target of Rp 12 trillion for this specific auction, the maximum amount the government may win could potentially reach up to 200 percent of this target, providing flexibility in securing necessary funds.
Government bond offerings play a critical role in overall budget financing and are essential for covering this year’s APBN deficit, which is projected to reach a substantial Rp 689.1 trillion. Furthermore, in accordance with the 2026 State Budget Law (UU APBN Number 17 Year 2025), the debt financing target for the current fiscal year is set at Rp 832.2 trillion. This marks a notable increase from the previous year’s target of Rp 775.9 trillion, underscoring the growing financing needs.
Editor’s Choice: APBN’s Primary Balance Remains Negative. What Does It Mean?
Summary
The Indonesian Ministry of Finance is preparing to auction eight series of State Sharia Securities (State Sukuk) on Tuesday, June 2, 2026, targeting an indicative amount of Rp 12 trillion. The auction includes both State Treasury Sharia Securities (SPN-S) and Project-Based Sukuk (PBS), with specific series like PBS038 offering a 6.875% yield and PBS040 offering 5%. This auction is crucial for partially fulfilling the financing targets outlined in the 2026 State Budget (APBN).
However, recent data from the Directorate General of Budget Financing and Risk Management (DJPPR) shows a decline in investor interest in previous State Sukuk auctions. These bond offerings are essential for covering the projected 2026 APBN deficit of Rp 689.1 trillion. The overall debt financing target for the current fiscal year is set at Rp 832.2 trillion, reflecting increased financing needs.