New York Mayor Offers Financial Team to Aid Jakarta in Bond Issuance

New York City Mayor Zohran Mamdani has expressed his readiness to send a financial team to assist DKI Jakarta in issuing municipal bonds. Mamdani stated this during a bilateral meeting with the Governor of DKI Jakarta, Pramono Anung, at the Civic Hall in New York on Sunday (20/9). He conveyed his enthusiasm and support for Jakarta's plan to issue regional bonds, noting that New York has also used bonds to finance infrastructure development, including waste management and various public facilities. "We are ready to send our financial team to share our experiences with the DKI Jakarta Provincial Government regarding the preparation and process of issuing regional bonds," Mamdani offered. Previously, Governor Anung announced plans to issue bonds worth Rp 3.5 trillion. He explained that this issuance is intended to support the capital's development amidst fiscal pressure following the central government's reduction of Jakarta's Dana Bagi Hasil (DBH), or revenue sharing fund, by Rp 15 trillion. "With the cut of Rp 15 trillion, there is certainly pressure on Jakarta's fiscal," Anung stated. He also highlighted that this would potentially be the first regional bond issuance in the republic. According to Yustinus Prastowo, Deputy Coordinator of the Governor's Special Staff, Jakarta does not need bonds due to a lack of money, but rather to manage its balance sheet more intelligently and accelerate development without disrupting fiscal sustainability. The DKI Jakarta Provincial Government is currently awaiting approval from the central government for the bond issuance. Anung expressed hope for obtaining the necessary permit. Source: CNN Indonesia