Indonesia\u2019s external debt position climbed to US$444.4 billion in May\n2026, reflecting a 2.1% year-on-year growth, according to Bank\nIndonesia. This marks a slight acceleration from the 2.0% growth\nrecorded in April 2026. The increase was primarily driven by the public\nsector, encompassing both government and central bank borrowing.<\/p>\n
Government external debt stood at US$217.3 billion, growing 3.7%\nyear-on-year, a pace relatively stable compared to the previous month.\nThis development was mainly influenced by inflows into international\ngovernment securities, reflecting sustained investor confidence in\nIndonesia\u2019s economic prospects. The government maintained its commitment\nto prudent debt management, ensuring timely principal and interest\npayments. The majority of government external debt is long-term and was\nallocated to productive sectors, including health and social services\n(22.0%), mandatory government administration and defence (20.6%),\neducation (16.2%), and construction (11.5%).<\/p>\n
Meanwhile, private sector external debt continued to contract, though\nat a decelerating rate. Private external debt recorded a 0.1%\nyear-on-year contraction in May 2026, an improvement from the 0.5%\ncontraction in April. This was largely due to a slower contraction in\nborrowing by financial corporations, which shrank by 0.8% year-on-year\ncompared to a 5.0% contraction the previous month.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/indonesias-external-debt-rises-to-us-444-4-billion-in-may-2026-1784091129", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }