Indonesian Bonds Set for First Foreign Outflows in Five Months

Indonesia’s sovereign bond market is on course for its first monthly foreign outflows of the year as economic instability and a falling rupiah erode investor confidence.

Foreign investors have net sold $221 million worth of government debt this month, putting the market on track for its first outflow since November, according to Finance Ministry data compiled by Bloomberg as at April 22. The yield on the benchmark 10-year bond has fallen more than nine basis points over the same period.