Indonesia mulls issue of first-ever dim sum bond as it diversifies funding

Hong Kong

INDONESIA is mulling its first sovereign bond in the offshore renminbi market, in a move that comes amid growing concerns over a dim sum liquidity squeeze.

Indonesia, Asia's biggest international sovereign borrower, is examining the pros and cons of issuing a dim sum bond, according to Ratri Yunita, an investor relations manager at Indonesia's government debt management office.

News of the study underlines Asia's exposure to the US dollar at a time when the region's currencies are falling and US interest rates are poised t…