IKN Authority Unveils Climate Bond Targets
Tempo.Co, Jakarta - IKN Authority announced that the release of climate bonds is targeted for 4 to 5 years in the future. According to IKN Authority Head Bambang Susantono, releasing the bond requires several preparations such as the asset balance sheet and the implementation of the ESG principle, or environmental, social, and governance.
"Around 4 to 5 years, we will be able to release the bonds," he said after attending Safe Forum in Jakarta today, September 26, 2023.
Additionally, Bambang gave an example of the gender bond, relating to women empowerment programs, and the green bond, in correlation with environmentally friendly programs.
"Meanwhile, the climate bond relates to activities associated with climate change, such as adaptation and mitigation," he said.
Earlier, the House of Representatives had been in discussion with the government to revise the State Capital Law No.3 of 2022. One of the provisions discussed was the status of the IKN Authority as a special regional government.
The implication of this status is the unimpeded authorization to manage regional finance. The provision will allow the IKN Authority to issue bonds, asset-backed bonds, or collect taxes.
AMELIA RAHIMA SARI
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