The government would issue retail bond, ORI007 on August 2010. The government offered a coupon or yield of 7.95% for ORI007, explained the Director of Government Bonds of the Ministry of Finance, Bimantara Widyajala, on Tuesday (July 13, 2010). “The preparation process was at the stage of stipulation of yield by the Minister of Finance, which was decided at 7.95% a year”.
ORI007 would be offered to the public from July 15, 2010 to July 30, 2010. The public may order from 20 appointed selling agents. “The preliminary target of sales proposed by 23 selling agents to the Government was Rp. 5 trillions. The retail bond was scheduled to be issued on August 4, 2010.
ORI007 was a safe investment instrument because payment of principal and interest was guaranteed by the laws. And, the bond could also be traded in the Secondary Market. The yield was averagely above deposits yield offered by state banks, and it would be paid monthly with a fixed rate. “Some banks already used ORI as loan collateral and were potential to get capital gain, and there were also price quotes from the selling agents”.