In May 2006, the Ministry of Finance issued regulations on the sale of government retail bonds in the primary market, designed to encourage demand for the smaller denomination bonds, thus creating a wider investor base and increasing market liquidity.

Two months later, the government offered its first retail bonds, sold directly to individual investors in lots of IDR5 million—as opposed to the previous minimum bond purchase of IDR1 billion. General terms, requirements, and procedure for investing in government retail bonds are at the links below.

The Surabaya Stock Exchange (SSX) trades retail bonds using the Fixed Income Trading System (FITS). FITS is a scriptless trading system that allows the trading of bonds with relatively small nominal values.

The government plans to issue three retail bonds in 2007. The first retail bond for 2007 was already issued in late March with a nominal amount of IDR 6.2332 trillion.