Jakarta. Indonesia has issued its first-ever yuan-denominated sovereign bonds, known as Dim Sum Bonds, worth 6 billion yuan ($842 million), marking a milestone in the country’s effort to diversify its financing sources and expand its global investor base.

According to a Finance Ministry statement on Friday, the bonds received total orders of up to 18 billion yuan, or three times the issuance amount, reflecting strong investor confidence in Indonesia’s economic stability and fiscal management.

“The high level of demand demonstrates trust in Indonesia’s medium-term growth prospects and the government’s fiscal credibility,” the ministry said.

The government successfully priced the bonds at lower yields than initially offered, cutting rates by 45 basis points to 2.5 percent for the five-year tenor and 40 basis points to 2.9 percent for the ten-year tenor, thanks to strong investor appetite.

The Dim Sum Bonds carry credit ratings of Baa2 from Moody’s and BBB from both S&P and Fitch Ratings, and will be listed on the Singapore Exchange (SGX-ST).

Bank of China, HSBC, and Standard Chartered Bank acted as joint lead managers for the transaction.

The yuan bond issuance represents Indonesia’s latest move to strengthen financial ties with China and broaden its access to Asian capital markets, complementing its existing portfolio of U.S. dollar, yen, and euro-denominated bonds.

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