Indonesia Forex Reserves Smallest Since 2024

Indonesia’s foreign exchange reserves fell to USD 144.9 billion in May 2026 from USD 146.2 billion in the previous month. It marked the lowest level since June 2024, mainly attributable to government external debt repayments and Bank Indonesia’s rupiah stabilization measures amid heightened uncertainty in global financial markets and seasonal domestic demand for foreign currency. Nevertheless, the reserve position remained robust, equivalent to 5.6 months of imports, or 5.5 months of imports and government external debt servicing, comfortably exceeding the international adequacy benchmark of around three months. Looking ahead, Bank Indonesia expects the country's external resilience to remain strong, supported by ample foreign exchange reserves and sustained capital inflows, underpinned by positive investor sentiment toward Indonesia’s economic outlook and the continued attractiveness of domestic financial assets.

Indonesia’s foreign exchange reserves fell to USD 146.2 billion in April 2026, from USD 148.2 billion in March, marking its lowest level since July 2024. Bank Indonesia attributed the decline to tax- and service-related outflows, government external debt repayments, and the issuance of global bonds. The central bank also noted its ongoing intervention in the foreign exchange market to stabilize the rupiah amid heightened global financial market uncertainty. Despite the decline, reserves remain sufficient to cover 5.8 months of imports, or 5.6 months including import needs and external debt servicing, well above the international adequacy benchmark of around three months. Looking ahead, Bank Indonesia expects external sector resilience to remain intact, supported by ample reserves and continued foreign capital inflows. The central bank also cited sustained investor confidence in Indonesia’s economic outlook and relatively attractive investment returns as key supporting factors.

Indonesia's foreign exchange reserves fell to USD 148.2 billion in March 2026, from USD 151.9 billion the previous month. This marked the lowest level since July 2024, primarily driven by the Bank of Indonesia's efforts to stabilize the rupiah amidst heightened global market volatility. Despite this drop, the reserve assets remain robust, covering 6.0 months of imports or 5.8 months when accounting for both imports and government external debt servicing. This level is well above the international benchmark of approximately three months of imports, highlighting Indonesia's strong external liquidity position. Looking ahead, Bank Indonesia remains confident that the country's external sector will remain well-supported, bolstered by a healthy reserve position and continued inflows of foreign capital. This optimism is further fueled by positive investor sentiment toward Indonesia's economic prospects and the attractive returns offered by the country’s investment climate.