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SUKUK
Key takeaways
- Indonesia's ST017 retail savings sukuk opens for subscription on November 6, 2026, and stays on sale through December 22.
- Analysts project floor coupons of 6.8%-6.9% on the two-year (T2) tenor and 7.0%-7.1% on the four-year (T4) tenor.
- If confirmed, those floors would top SBR015's 6.75%-6.85% - the richest opening pricing among recent Indonesian retail series.
JAKARTA - Indonesia's next retail savings sukuk, series ST017, is shaping up to pay a richer coupon than the conventional retail savings bond SBR015, even with Bank Indonesia (BI) holding its benchmark rate, the BI-Rate, steady at 5.75%. The sharia-compliant instrument - a type of Islamic government retail bond - opens for public offering on November 6, 2026, and will remain on sale until December 22, and rising yields across the domestic bond market have handed the Ministry of Finance room to price it more aggressively than its predecessors.
Rising bond yields give Jakarta room to pay up
Ni Putu Kurniasari, chief operating officer of Indonesian online investment marketplace Bareksa, said the build-up of risk premiums in the domestic debt market is likely to push the Ministry of Finance to adjust its coupon-setting strategy for the new series. That matters, she noted, because savings sukuk cannot be traded on the secondary market - the coupon is the instrument's main selling point as households weigh it against other fixed-income options amid tight competition for liquidity.
"Looking at benchmark bond yields that have climbed to 7.5% for the 10-year tenor - even with the BI-Rate unchanged - I estimate the Ministry of Finance will set the ST017 coupon higher than SBR015," Kurniasari told Kontan on Friday, October 30, 2026.
ST017 vs SBR015 and ST016: the numbers so far
The government priced SBR015 last month with floating-rate coupons carrying floors of 6.75% for the two-year tenor and 6.85% for the four-year tenor. Both floors already sit well above the coupons on Sukuk Tabungan series ST016, which was issued in mid-2026 at 6.05% (T2) and 6.25% (T4).
| Series | Type | Offer period | 2-year coupon (T2) | 4-year coupon (T4) |
|---|---|---|---|---|
| ST016 | Savings sukuk (sharia) | Mid-2026 | 6.05% | 6.25% |
| SBR015 | Retail savings bond (conventional) | October 2026 | 6.75% (floor) | 6.85% (floor) |
| ST017 | Savings sukuk (sharia) | Nov 6 - Dec 22, 2026 | 6.8%-6.9% (projected floor) | 7.0%-7.1% (projected floor) |
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Economists see 6.8%-7.1% as the equilibrium zone
Syafruddin Karimi, an economist at Indonesia's Andalas University, projects that the floor on ST017 could land at 6.8%-6.9% for the two-year tenor and 7.0%-7.1% for the four-year tenor.
"The government has room to narrow the spread compared with ST016 because the retail investor base is deeper now. On the other hand, the coupon cannot be set too low, because investors will compare it with bank deposits, tradable government bonds and money-market instruments," Karimi told Kontan on the same day.
Weighing pressure on the rupiah and elevated government bond yields, that projected range translates into a spread of roughly 105-115 basis points over the BI-Rate for the two-year paper and 125-135 basis points for the four-year tenor - a level seen as the most rational equilibrium between keeping the offer attractive to savers and containing the government's financing cost.
What is Sukuk Tabungan? A quick primer for global readers
Sukuk Tabungan (ST) series are retail savings sukuk: sharia-compliant government securities issued by Indonesia's Ministry of Finance and structured so that returns comply with Islamic finance principles. Unlike listed bonds, ST series are non-tradable - investors hold them to maturity and receive periodic coupon payments plus their principal back at the end of the term. They are sold to individuals through banks and online securities platforms such as Bareksa. The conventional counterpart is the Savings Bond Ritel (SBR) series, which pays interest rather than sharia-compliant returns. Because neither instrument can be resold, the initial coupon is the key selling point.
The bottom line
If the projections hold, ST017 will enter the market with the highest opening coupons of any recent Indonesian retail series, helping the non-tradable instrument stay competitive against bank deposits, tradable government bonds and money-market products. Official pricing will be confirmed when the Ministry of Finance opens the offering window on November 6.
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Source and attribution:
This article is an English-language adaptation of reporting originally published in Indonesian by Kontan.co.id: "Menakar Prospek Imbal Hasil ST017, Kupon Diproyeksi Lebih Menarik dari SBR015", published November 1, 2026 (3:08 p.m. WIB), reported by Muhammad Fatih and edited by Anna Suci Perwitasari. All figures and quotes are drawn from the original article; quotes were translated from Indonesian.
Disclaimer
This article is for information only and does not constitute investment advice. Coupon levels for ST017 are analyst projections, not official terms; final pricing will be set by Indonesia's Ministry of Finance. ST and SBR retail series are primarily aimed at Indonesian retail investors - confirm eligibility, subscription channels and final terms with official selling agents before making any investment decision.
