No. 27/112/DKom
Indonesia's Balance of Payments (BOP) in the first quarter of 2025 was maintained. The current account deficit remained low despite global economic moderation. In addition, the capital and financial account recorded a manageable deficit amid increasing global financial market uncertainty. Consequently, the BOP in the first quarter of 2025 recorded a USD 0.8 billion deficit, while the position of reserve assets at the end of March 2025 remained high at USD 157.1 billion, equivalent to 6.5 months of imports and servicing government external debt, which is well above the international adequacy standard of around three months of imports.
The current account posted a narrower deficit. In the first quarter of 2025, the current account recorded a deficit of USD 0.2 billion (0.1% of GDP), down from a USD 1.1 billion deficit (0.3% of GDP) in the fourth quarter of 2024. The goods trade surplus increased, primarily driven by a larger non-oil and gas trade surplus. Non-oil and gas exports declined in line with global economic moderation and subdued commodity prices. Meanwhile, non-oil and gas imports fell more sharply, particularly in the form of raw materials and auxiliary materials. On the other hand, the services trade deficit widened, mainly due to a smaller surplus in travel services, reflecting a lower number of inbound international travellers to Indonesia. The primary income account deficit also increased due to a hike in income payments on portfolio investment.
The capital and financial account remained manageable amid increasing global financial market uncertainty. Direct investment continued to post a surplus, thus reflecting positive investor perception of the promising domestic economy and conducive investment climate. Portfolio investment also increased, influenced primarily by foreign capital inflows into domestic debt securities. Meanwhile, other investments registered a deficit due to lower withdrawals of government and private loans, coupled with increased private investment in various financial instruments aboard. As a result, the capital and financial account recorded a USD 0.3 billion deficit in the first quarter of 2025.
Moving forward, Bank Indonesia will continue monitoring global economic dynamics that could impact the BOP outlook, while continuously strengthening its policy mix response, supported by close policy synergy with the Government and other relevant authorities to bolster external sector resilience. Overall, BOP performance in 2025 is expected to remain sound, underpinned by a maintained capital and financial account surplus and a manageable current account deficit in the 0.5%-1.3% of GDP range. The capital and financial account surplus is supported by foreign capital inflows given positive investor perception of the promising domestic economic outlook along with attractive yields on financial assets for investment.
Further information and data are presented in the Q1/2025 Indonesia Balance of Payments Report , accessible via the official Bank Indonesia website.
Jakarta 22nd May 2025
Communication Department
Ramdan Denny Prakoso
Executive Director
