Jakarta (ANTARA News) - Finance Minister Sri Mulyani Indrawati said in Jakarta Monday the debts incurred in several European countries would not influence the government to continue issuing bonds.

She also said that despite the debts incurred in Greece and Portugal, the performance in the issuance of bonds has improved significantly.

"Since our state budget is relatively safe and sound, if you look at the performance of our bonds with a period of 5-10 years of yield, you will see there has been a significant improvement," she said in Jakarta Tuesday.

She said further that the size of the budget deficit is still no cause for alarm, so that the volume of the bonds to be issued by the government this year is still reasonable and absorbable by the market.

She said foreign investors still see Indonesia as the most attractive developing country for investment, so that up till now the capital inflow and stability is still well maintained in the last three months.

The finance minister also said the crisis and debt problems in Europe could affect the perception towards the stability of the euro and in Indonesia it will have an impact on the exchange rates.(*)