Indonesia’s Bond Yields and CDS Rose Amid External Pressures

Indonesia’s Bond Yields and CDS Rose Amid External Pressures 
Indonesia’s 10-year govt. bond yield rose 8.1 bps to 7.22%, the highest in six weeks, while 10-year and 5-year INDON yields increased 6.7 bps to 6.20% and 2.7 bps to 5.65%, respectively. The 5-year INDON CDS also rose to 92 on 29 Sep-26 from around 82 two weeks earlier, indicating higher market pricing for Indonesia’s sovereign credit risk. The pressure was attributed to higher US Treasury yields, rupiah depreciation, crude oil prices above USD 100/bbl, inflation risks, fiscal policy uncertainty, and concerns over policy credibility. (Bloomberg Technoz)

Indonesia Govt. Pushed Revision of Electricity Plan for 100 GWp Solar Target 
Indonesia’s Coordinating Ministry for Economic Affairs pushed for a revision of the Electricity Supply Business Plan (RUPTL) to accommodate a target of up to 100 GWp of solar power capacity, compared with around 69.5 GW of total additional generation capacity currently planned through 2034. The govt. aims to accelerate the 100 GWp solar program within the next 2–3 years, alongside battery storage development to support lower energy-sector emissions. The plan also includes around 47,758 km of transmission network development and smart-grid infrastructure to optimize renewable power integration, while reliable and affordable electricity is expected to support digital industries including data centers. (Emitennews) 

Indonesia Approved 95% of 2026 Coal Work Plans, Targeting 720 mn tons of Production 
Indonesia’s Ministry of Energy and Mineral Resources (ESDM) approved 95% of 2026 coal work plans (RKAB), with coal production projected at 720 mn tons, down from 817 mn tons in 2025. As of Jul-26, production reached 432 mn tons, comprising 270 mn tons of exports and 113 mn tons of domestic sales, while 2025 exports and domestic sales stood at 522 mn tons and 246 mn tons. Despite lower production, mineral and coal non-tax state revenue (PNBP) reached IDR 108 tn as of Aug-26, up from IDR 87 tn in the same period last year. (Bisnis.com) 

LNG Canada Approved Phase 2 Expansion to 28 mn Tons/Year 
LNG Canada’s consortium, led by Shell, approved the final investment decision for Phase 2 expansion at its Kitimat, British Columbia facility. The expansion will nearly double LNG Canada’s capacity to 28 mn tons/year, with commercial operations targeted for the early 2030s. The project is being advanced amid tighter global energy supply conditions, with Petroliam Nasional Bhd (Petronas), PetroChina, Mitsubishi Corp., Korea Gas, and MidOcean Energy among the other JV partners. (IDNFinancials)

Indah Kiat Pulp & Paper (INKP) Prepared IDR 1.04 tn and USD 900 k Debt Repayment 
INKP confirmed it will repay three debt securities maturing in Nov-26, comprising IDR 1.04 tn in principal and USD 900 k. The obligations consist of IDR 739.72 bn Sustainable Bonds IV Phase III 2023 Series B with a 10.25% interest rate and IDR 303.56 bn Sustainable Mudharabah Sukuk III Phase III 2023 Series B with an approximately 10.25% profit-sharing rate, both due on 21 Nov-26, as well as USD 900 k Sustainable USD Bonds I Phase II 2023 Series B with a 7% interest rate due on 22 Nov-26. The repayments will be funded from proceeds of INKP’s 2026 debt securities issuance. (Emitennews) 

VKTR Teknologi Mobilitas (VKTR) Set IDR 3 tn Rights Issue at IDR 200/sh 
VKTR will issue up to 15 bn new shares through a rights issue at an exercise price of IDR 200/sh, with a 35:12 HMETD ratio, potentially raising up to IDR 3 tn. Shareholders holding 35 shares as of 8 Oct-26 will be entitled to 12 HMETD. The right issue schedule is as follow: 
- Cum Date (Reg & Neg): 06 Oct-26 
- Ex Date (Reg & Neg): 07 Oct-26 
- Cum Date (Cash): 08 Oct-26 
- Ex Date (Cash): 09 Oct-26 
- Recording Date: 08 Oct-26 
- HMETD Distribution: 09 Oct-26 
- BEI Listing: 12 Oct-26 
- HMETD Trading & Exercise: 12–23 Oct-26 (Emitennews) 

Indocement Tunggal Prakarsa (INTP) Merged Two Subsidiaries 
INTP merged its subsidiaries PT Lintas Bahana Abadi (LBA) and PT Bahana Indonor (BI), with BI acting as the surviving entity. The combined entity will have total assets of IDR 400.8 bn, with the transaction funded through internal funds. The merger aims to create synergies and improve distribution efficiency, while INTP stated that the transaction has no specific impact on its legal position or business continuity and does not constitute a material or affiliated transaction. (IDNFinancials)