Indonesia Q2 Current Account Gap Largest in A Year

Indonesia posted a current account surplus of USD 4.0 billion in Q3 2025 (1.1% of GDP), shifting from a USD 2.0 billion gap in the same quarter of 2024. This marked the country’s first current account surplus since Q1 2023 and its largest since Q3 2022, as the trade surplus surged to USD 16.1 billion, up from USD 9.2 billion, supported by an increase in the non-oil trade surplus. The secondary income surplus also increased to USD 1.7 billion, from USD 1.5 billion. Meanwhile, the primary income deficit widened slightly to USD 9.4 billion, compared with USD 8.5 billion a year earlier, while the services account deficit rose slightly to USD 4.3 billion from USD 4.2 billion. Last year, the current account deficit widened significantly to USD 8.7 billion, up from USD 2.0 billion in 2023, driven by a decline in the trade surplus amid subdued foreign demand. For this year, the central bank expects the current account to be within a range of a 0.1% surplus to a 0.7% deficit of GDP.

Indonesia's current account deficit stood at USD 3.0 billion in Q2 2025, unchanged from the same quarter in 2024. This marked the ninth consecutive quarter of a shortfall and the largest gap since Q2 2024, when the deficit was also USD 3.0 billion, equivalent to 0.8% of the country's GDP. The primary income deficit increased slightly to USD 9.83 billion from USD 9.45 billion a year earlier, while the services account deficit narrowed to USD 5.51 billion from USD 5.99 billion. Meanwhile, the trade surplus rose to USD 10.58 billion, up from USD 9.99 billion, and the secondary income surplus increased to USD 1.74 billion from USD 1.43 billion. Last year, the current account deficit widened significantly to USD 8.68 billion, up from USD 2.04 billion in 2023, driven by a decline in the trade surplus amid subdued foreign demand. For this year, the central bank expects the current account deficit to remain within 0.5%–1.3% of GDP.

Indonesia's current account deficit declined to USD 0.17 billion in Q1 2025, down from USD 2.44 billion in Q1 2024. This marked the eighth consecutive quarter of a shortfall, but it was the smallest gap in the sequence, representing just 0.1% of the country's GDP. The primary income deficit increased slightly to USD 9.37 billion from USD 8.84 billion a year earlier, while the services account deficit widened to USD 5.44 billion from USD 4.19 billion. Meanwhile, the trade surplus surged to USD 13.06 billion, compared to USD 9.29 billion a year earlier, and the secondary income surplus rose to USD 1.57 billion from USD 1.30 billion. Last year, the current account deficit widened sharply to USD 8.47 billion (0.6% of GDP), up from USD 2.04 billion in 2023 (0.1% of GDP), driven by a decline in the trade surplus amid subdued foreign demand, while domestic demand remained strong. However, the figure remained within the central bank's target range of 0.1% to 0.9%.