Chaotic World, Foreign Capital Flows Out of Indonesia Reach US$800 Million
Jakarta, CNBC Indonesia - Governor of Bank Indonesia (BI) Perry Warjiyo revealed that foreign capital outflows from Indonesia were recorded in the first quarter of 2026, due to worsening global economic uncertainty. He said total outflows amounted to US$800 million in the three months to March 2026. ‘This development needs to be addressed with strengthened coordination so that the balance of payments performance supports stability,’ Perry said at a press conference on Wednesday (20 May 2026). He noted that the worsening global conditions is also seen in higher yields on sovereign debt of advanced economies to absorb foreign capital flows; as a result, outflows are occurring in emerging markets, including Indonesia. ‘The yield on US Treasuries stood at 4.66% for the 10-year tenor and 4.11% for the 2-year tenor on 19 May 2026. It is expected to remain elevated, driven by fiscal deficits,’ he stated.