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INDONESIA INFF IMPLEMENTATION

FINANCING SUSTAINABLE DEVELOPMENT IN ASIA-PACIFIC REGION

IN TIMES OF VOLATILITY AND UNCERTAINTIES

Setyo Budiantoro, Manager of Economic Development Pillar - SDGs National Secretariat, Ministry of National Development Planning/ National Development Planning Agency (Bappenas)​, Republic of Indonesia

Session 1. Integrated national financing frameworks: building a more sustainable national financing architecture

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INDONESIA IS ONE OF PIONEERS;

86 COUNTRIES CURRENTLY DEVELOPING INFF

INDONESIA INFF REPORT

INTEGRATED NATIONAL FINANCING FRAMEWORK (INFF)�UMBRELLA FOR STAKEHOLDERS IN DEVELOP ENABLING ECOSYSTEM

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INTEGRATING OF FINANCING INITIATIVES

Public Finance

    • Integrated planning and budgeting
    • SDGs budget dynamic tagging
    • Climate budget tagging
    • Gender responsive planning and budgeting
    • Fuel subsidy reduction
    • Sin tax on cigarettes and alcohol

Public-Private Finance

    • Green sukuk/bond
    • SDGs Bond
    • Blended finance
    • PPP
    • Climate change trust fund
    • National strategy for financial inclusion
    • Sovereign wealth fund

​

Commercial Finance

    • Sustainable Finance Roadmap
    • Green taxonomy
    • Fintech innovations
    • Equity crowdfunding for MSE
    • Impact investing
    • ESG index and sustainability reporting

Other Private Finance

    • Master plan on Islamic Finance
    • Crowdfunding
    • Philanthropy
    • NGOs
    • Remittances
    • CSR

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  • The results of the SDG Bond issuance can be used to support all SDG goals in accordance with the National Development Priorities.
  • Proceeds from the issuance of SDG Bonds in 2021 will be used to finance four different projects in three sectors under four ministries.

SDG Bond Allocation and

Impact Report 2022

Indonesia is the first country in the Asian Region to issue Sustainable Development Goals (SDG) Bonds in Euros.

SDG BOND HIGHLIGHT IN THE GLOBAL MARKET

SDG BOND ISSUANCE 2021 AND 2022

  • The first SDG Bond issuance in the domestic market through auction
  • SDG Bond issuance is carried out to support inclusive macroprudential financing.

SDG BOND HIGHLIGHTS IN THE DOMESTIC MARKET

SERI

​

FRSDG001

Tenor

:

8 Year

Maturity Date

:

15 October 2030

Nominal Issuance

:

3,26 Trillion Rupiah

Coupon Rate

:

7.375%

GLOBAL MARKET (2021)

DOMESTIC MARKET (2022)

On Progress

SDG Bond Allocation and Impact Report 2023

A yearly allocation and impact report for the SDG Bonds issued in 2022 is still in progress and will be updated with relevant data from the results of the issuance in 2021.

Source : Ministry of Finance, various years

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INTEGRATED NATIONAL FINANCING FRAMEWORK (INFF)

AS AN UMBRELLA FOR STAKEHOLDERS TO ORCHESTRATE SDGs FINANCING

INFF STRATEGIC ROLE

MEDIUM-LONG TERM

Better manage an increasingly complex financing landscape

Match different types of financing (blended finance) domestic and international, public, and private

Enhance coherence across different financing policies, addressing synergies, inconsistencies, and trade-offs

Streamline the wide variety of tools and instruments

Enhance transparency of financing flows

Overcome existing impediments to financing sustainable development

Support long term investment and strengthen medium- and long-term planning by better aligning financial market

Strengthen voice in global policy processes by providing a bridge between national level action and more systemic

FINANCING STRATEGIES OF INFF INDONESIA

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Thank you.

For more information, visit www.inff.org

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CREATING A SUSTAINABLE AND IMPACTFUL FINANCE ECOSYSTEM

Sustainable Finance Roadmap

Green Taxonomy

IDX ESG Leaders

SDGs Bonds, Green Sukuk, Blue Bond

Indonesia Impact Fund

Sharia Ecosystem Synergy

SDGs Investor Mapping

Standard For Sustainable Development & Better Life