Bank Indonesia has reported an inflow of foreign capital of Rp4.60 trillion in the domestic financial market from July 25 to 28, 2022.
At least Rp3.28 trillion in funds entered the Indonesian financial market through the government securities (SBN) market and Rp1.32 trillion through the domestic stock market.
“Since the beginning of the year until July 28, 2022, there have been outflows of funds worth Rp138.95 trillion from the government bond (SBN) market, and there have been incoming funds of Rp57.85 trillion in the stock market,” said the head of the BI’s communications department, Erwin Haryono.
In addition, the investment risk premium, or Indonesia’s five-year credit default swap (CDS), fell to 123.66 basis points (bps) on July 28 from 135.54 bps on July 22, Haryono said.
Meanwhile, the yield on 10-year government bonds fell to 7.21 percent on Friday morning from 7.27 percent on July 21.
The yield is still far higher than the yield on 10-year US bonds, which is pegged at 2.676 percent.
According to BI, the rupiah opened at a level (bid) of Rp14,850 per US dollar on Friday morning, or strengthened compared to the previous day’s trade, when it closed at Rp14,930 per US dollar.
