Bank Indonesia makes first direct government bond buys

Jakarta

INDONESIA'S central bank made its first direct purchases of sovereign debt in primary auctions this week as foreign investors fled as officials said it had bought 4.65 trillion rupiah (S$428.5 million) of government bonds.

The purchases follow a relaxing of rules to help keep yields steady and finance Indonesia's ballooning fiscal deficit as it ramps up government spending to tackle the coronavirus crisis.