Covid-19 pandemic pushes demand for global bond issuance as companies and governments rush to issue debt to ease the pandemic's effects.
Bank Mandiri's subsidiary brokerage firm, PT Mandiri Sekuritas, recorded a 41% growth in the global bond issuance segment through its overseas subsidiary, Mandiri Securities Pte. Ltd. (Mandiri Securities Singapore).
During the first half of 2020, the company completed 12 global bond mandates with a guaranteed $2.1 billion value, an increase of 109% YoY from $984 million.
"In a time like this, many corporations are trying to find financial solutions in maintaining their business sustainability. We believe that the issuance of global bonds is an opportunity for Indonesian corporations to gain exposure in the international market, "said CEO Mandiri Sekuritas Dannif Danusaputro.
The company also carried out 14 corporate bonds and Sukuk issuances in the last six months and took an underwriter's role in two initial public offerings (IPO).
Through Mandiri Securities Singapore, Mandiri Sekuritas is currently the only Indonesian company with a license as a capital market service provider, which engages in dealing in securities, corporate finance advisory, investment banking, and capital market activities in the international capital market.
In the retail segment, Mandiri Sekuritas recorded an increase of more than 26,000 new customers in its Online Trading apps service, bringing to a total of 145.000 customers, an increase of 35% YoY in the first semester this year.
Dannif added, investors' enthusiasm during the pandemic was able to increase the number of transactions at Mandiri Sekuritas with the average daily transaction value of retail customers, which rose 32% YoY to Rp396 billion.