TEMPO.CO, Jakarta – The Jakarta government’s plan to issue municipal bonds is nearing reality. After securing approval from the Jakarta Regional House of Representatives (DPRD), the city administration has agreed to offer the debt securities to the public beginning in June 2027.
The Jakarta Regional Government Bonds are are set to be launched as the city marks its 500th anniversary. Jakarta Governor Pramono Anung said the bonds to be issued on the capital market would be worth Rp5.2 trillion (around US$292.1 million), up from the initial plan of Rp3.5 trillion (US$196.6 million). “The figure increased after discussions with the Jakarta DPRD,” he said after attending the 2026 National Creativity Day for Teacher Workshop in South Jakarta on Thursday, August 6, 2026.
If the plan goes ahead, Jakarta will become the first province in Indonesia to finance infrastructure development through municipal bonds, or debt securities. Proceeds from the sale will be used to fund Phase 1C of the Mass Rapid Transit (MRT) line connecting Manggarai and Dukuh Atas, regional public hospitals, schools, retention ponds and reservoirs for flood control, and low-cost apartment buildings.
The process is also moving forward. At a meeting on Friday, July 31, Commission C of the Jakarta Regional House of Representatives approved the municipal bond plan for consideration by its Budget Committee. On Tuesday, August 4, Pramono Anung met with representatives of the International Finance Corporation, an affiliate of the World Bank Group, to discuss the proposal. The World Bank, the Asian Development Bank, and the Coordinating Ministry for the Economy have been assisting the Jakarta administration throughout the process.