The listing of these two instruments on the IDX holds particular significance for IIF, providing alternative funding sources and showcasing a new achievement for the company in the Indonesian capital market sector.

In the issuance of the Sustainable Bond II - Indonesia Infrastructure Finance Phase I, 2023, IIF played a catalytic role, evidenced by the substantial participation of retail investors, amounting to almost 65 percent. This notable engagement occurred despite the bond not being specifically identified as a retail bond, reflecting IIF’s ongoing efforts to promote the concept of sustainable infrastructure financing.

On another front, the Perpetual Notes issued by the company serve as thematic instruments with the primary objective of strengthening IIF's capital structure. These funds will be utilized to finance sustainable infrastructure projects based on the environmental business activity principles in Indonesia. The Perpetual Notes have no maturity date, but instead they offer a non-call option at the fifth year and every subsequent anniversary thereafter.

The Perpetual Notes mark a new breakthrough in the Indonesian capital market. They are the first to utilize a public offering mechanism in Indonesia, and are also the pioneer in implementing the regulations outlined in POJK 11/2018 on public offering of debt securities and/or sukuk to professional investors.

Reynaldi Hermansjah, president director of IIF, stated that the predetermined yield rate was competitively set to attract public interest and participation. "The coupon for the Sustainable Bond II - Indonesia Infrastructure Finance Phase I 2023 is 6.45 percent for a tenure of 370 days, 6.70 percent for a tenure of three years, and 6.80 percent for a tenure of five years. Additionally, the yield for the Green Perpetual Notes Indonesia Infrastructure Finance 2023 is 8.25 percent per annum, which we consider competitive. This effort is aimed at engaging public participation to support the growth of sustainable infrastructure projects in Indonesia," said Reynaldi.

He also emphasized IIF's contribution to diversifying investment instruments in the Indonesian capital market. "With the issuance of these two instruments, we are delighted to contribute to the enrichment of investment diversity in the Indonesian capital market, particularly through the IDX. This move also aims to increase the number of sustainability-based instruments, commonly known as green instruments," added Reynaldi.

On a separate note, Pefindo, an independent rating agency, has assigned its “idAAA” (triple A, stable outlook) to IIF’s Sustainable Bond II - Indonesia Infrastructure Finance Phase I, 2023. In addition, Pefindo has assigned a rating of idAA (double A, stable outlook) to the Green Perpetual Notes Indonesia Infrastructure Finance 2023, which is two levels below the corporate rating (idAAA). This reflects the junior status of the Perpetual Notes, given their classification as additional tier 1 capital with the characteristic of complete discretion in coupon payment deferral.

As of September 2023, IIF had disbursed loans totaling Rp 13 trillion, with renewable energy projects in the electricity sector dominating the financing achievements. With a stronger capital structure, IIF will have greater flexibility in expanding its business, particularly in the development of environmentally conscious infrastructure projects in Indonesia.

In terms of revenue, as of September 2023, interest income for IIF grew by 15 percent to Rp 1.0 trillion year on year (yoy), and non-interest income surged by 53 percent to Rp 83.8 billion (yoy). These achievements propelled IIF’s net profit to grow by 17 percent to Rp 68.4 billion (yoy) in September 2023.

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