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​​​Communication Department
11/21/2023 10:00 AM
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Indonesia’s Balance of Payments Improving, External Sector Stability Maintained

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Indonesia's Balance of Payments (BOP) improved in the third quarter of 2023 despite increasing global economic uncertainty. Indonesia's BOP in the third quarter of 2023 recorded a significant improvement, amassing a shallower USD1.5 billion deficit compared with a USD7.4 billion deficit in the previous period. BOP performance was supported by improvements in terms of the current account deficit and capital and financial account deficit in the reporting period.  Consequently, the position of reserve assets at the end of September 2023 remained high at USD134.9 billion, equivalent to 6.0 months of imports and servicing government external debt, which is well above the international adequacy standard of three months of imports.

The current account improved in the reporting period, underpinned by a solid goods and services trade balance.  In the third quarter of 2023, the current account recorded a USD0.9 billion deficit (0.2% of GDP), significantly lower from a USD2.2 billion deficit (0.6% of GDP) in the previous period.  The non-oil and gas trade surplus increased driven by stronger demand for several export commodities, particularly iron and steel, despite commodity prices still tracking a downward trend.  Meanwhile, the oil and gas trade deficit increased in line with the rising global oil price.  Current account improvements were also supported by a narrower services trade deficit as inbound international travellers to Indonesia increased given the ongoing tourism sector recovery.  In addition, the primary income account deficit also narrowed in line with lower investment income payments to non-resident investors.

Capital and financial account performance also improved despite rising global financial market uncertainty.  The capital and financial account in the third quarter of 2023 recorded a USD0.3 billion deficit (0.1% of GDP), well below the USD4.8 billion deficit (1.4% of GDP) recorded in the previous period.  The narrow capital and financial account deficit was supported by maintained direct investment, which is indicative of positive investor perception of the promising domestic economic outlook.  Other investment also recorded a surplus due to an increase in external debt to finance corporate sector activity.  Meanwhile, portfolio investment recorded a larger deficit in line with capital outflows from the stock and bond market triggered by increasing global financial market uncertainty amid capital inflows to Bank Indonesia Rupiah Securities (SRBI).

Bank Indonesia observes stronger BOP performance in the third quarter of 2023, thereby continuing to support external resilience in Indonesia.  Moving forward, Bank Indonesia will remain vigilant of global economic dynamics that could influence the BOP outlook and continue strengthening the policy mix response, supported by close policy synergy with the Government and other relevant authorities to reinforce external sector resilience.

Further information and data are presented in the Third Quarter of 2023 Indonesia Balance of Payments Report accessible via the official Bank Indonesia website.


Jakarta, 21 November 2023​

Communication Department
Erwin Haryono
Executive Director 

​​​Contact Center BICARA : (62 21) 131
E-mail :
Working hours: Monday to Friday, 08.00-16.00 West Indonesia Time​
Halaman ini terakhir diperbarui 11/21/2023 10:41 AM
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