PT Hutama Karya’s debt is faring better than the bonds of other Indonesian state-backed enterprises — despite an eye-watering increase in leverage.

The construction company’s 2030 dollar bond has climbed to 92 cents on the dollar, up 0.6 cents since March 31, when it announced its third consecutive full-year loss. By contrast, PT Perusahaan Listrik Negara debt due in February 2030 climbed 0.4 cents, while PT Pertamina’s note due in August of that year has lost 0.9 cents per dollar, Bloomberg-compiled data show.

All three companies are rated Baa2 by Moody’s and BBB by Fitch. Hutama Karya’s liabilities have increased 1300% since 2014, when Indonesian President Joko Widodo took office and launched an infrastructure improvement campaign.

Fellow builders PT Waskita Karya and PT Wijaya Karya have sought to restructure their debt this year, while Hutama Karya is slated to received fresh capital.

“Hutama Karya’s bond could hold up so well because of the government support,” said Albert Budiman, chief investment officer at UOB Asset Management Indonesia in Jakarta.

That means the state vouches for the punctual payment of all principal and interest due, as well as any penalties.

“If there is any weakening on government support in the future, that would be a risk,” Budiman also said.

--With assistance from Grace Sihombing.