Despite local political protests, BlackRock reaffirms its positive outlook on Indonesia's long-term government bonds

BlackRock reaffirms its positive outlook on Indonesia's long-term government bonds, believing that their high yields can withstand the risks brought by political instability. Navin Saigal, Head of Fixed Income for Asia Pacific at BlackRock, stated that they have recently increased their holdings in bonds with maturities of 10 to 15 years, shifting their investment strategy from short-term bonds to long-term bonds. Despite the protests in Indonesia, BlackRock believes that having sufficient risk premiums and a diversified investment strategy is crucial. The current real yield on Indonesian bonds is approximately 3%