TEMPO.CO, Jakarta - State-owned Bank Mandiri is issuing the Sustainable Bonds I phase one with an indicative target of Rp5 trillion. The bonds issued are expected to take up funds repatriated using the tax amnesty program.
The bank's finance and treasury director Pahala N. Mansury said the bond issuance proceeds will be used to finance housing and infrastructure projects that require long-term financing of five to 10 years.
"We are planning for credit expansion, especially in the infrastructure sector," he said during a press conference on Wednesday, August 24.
Bank Mandiri also plans to use some of the proceeds to pay its subordinates bonds, which will mature on December 11 this year.
The first phase of Mandiri's Sustainable Bonds I will be issued in three series, the 5-year Series A with a coupon of 7.75-8.25 percent, the 7-year Series B with 8.15-8.65 percent coupon, and the 10-year Series C with a coupon rate of 8.4-8.9 percent.
The second phase of the Sustainable Bonds I offering is scheduled to take place in the first quarter of 2017.
The Tax Directorate General's spokesperson Hestu Yoga Saksama yesterday announced that the tax amnesty program has pulled-in Rp1.07 trillion of tax retribution. The total amount of assets repatriated so far is around Rp1.75 trillion.
Hestu said that Rp826 billion of the retribution came from non-SME individual taxpayers, and Rp167 billion was paid by on-SMEs corporate taxpayers.
The retribution paid by SME individual taxpayers reached Rp75.9 billion, while SME corporate taxpayers had paid Rp3.52 billion.
GHOIDA RAHMAH | ANGELINA ANJAR SAWITRI | DESTRIANITA
