BI Reports US$8.5 Billion in Foreign Portfolio Inflows in Q2-2026

Bank Indonesia (BI) Governor Perry Warjiyo reported that foreign portfolio investment flows recorded net inflows of US$8.5 billion in the second quarter of 2026, mainly supported by Government Securities (SBN) and Bank Indonesia Rupiah Securities (SRBI). He confirmed that this trend continued up to 20 July 2026, particularly driven by SBN, which recorded net inflows of US$0.1 billion. “From the capital and financial account, various strengthening monetary policy responses pursued by Bank Indonesia in synergy with the government’s fiscal policy to increase the yield of domestic financial instruments can encourage continued foreign capital inflows,” Perry said during a press teleconference on the results of the BI Board of Governors Meeting on Wednesday, 22 July 2026. In general, BI views that the performance of Indonesia’s balance of payments needs to be continuously strengthened to mitigate the spillover effects of high global uncertainty. Indonesia’s trade balance from January to May 2026 cumulatively recorded a surplus of US$4.03 billion, although developments in May 2026 recorded a deficit of US$1.61 billion. Indonesia’s foreign exchange reserve position at the end of June 2026 was maintained at US$145.6 billion, equivalent to financing 5.5 months of imports or 5.4 months of imports and government external debt payments, and remains above the international adequacy standard of around 3 months of imports. BI forecasts that going forward, the 2026 current account performance will remain healthy within a deficit range of 1.3 per cent to 0.5 per cent of gross domestic product. “Strengthening policy synergy between the government and Bank Indonesia continues to be pursued to bolster the external resilience of the national economy and simultaneously strengthen rupiah exchange rate stability in the face of global turmoil,” he stated.