Fitch Cuts Indonesia's Debt Rating Outlook to Negative, Finance Ministry: Indonesian Economy on Positive Trajectory
Indonesia’s Debt Rating Outlook Cut to Negative by Fitch; Economy on Positive Trajectory, Government Says. The Ministry of Finance has responded to Fitch Ratings’ decision to trim Indonesia’s debt rating outlook from stable to negative on Wednesday, 4 March 2026, noting the resilience of the national economy and continued reforms.
Head of the Bureau of Communications and Information Services at the Ministry of Finance, Deni Surjantoro, said that the strength of the national economic foundations, the maintenance of fiscal discipline, and ongoing structural reforms underscore that Indonesia’s economy is on a positive trajectory to strengthen medium-term growth and resilience.
‘The Government of Indonesia reaffirms its commitment to maintaining macroeconomic stability, continuing fiscal discipline as mandated by law, and improving the business climate,’ Deni said in a statement on Wednesday, 4 March 2026.
He explained that efforts to improve the business climate include debottlenecking and deregulation to boost investment and accelerate economic growth.
‘And reinforce structural reforms to strengthen economic resilience,’ he added.
In addition, Deni noted that several reform efforts have already shown results. With GDP growth reaching a high of 5.39 per cent in Q4 2025, various key indicators of economic activity at the start of 2026, he said, continue to show momentum of improvement.
Examples include the consumer confidence index, the Purchasing Managers’ Index, electricity consumption (business and industry), and vehicle sales (cars and motorcycles).
‘The Government will continue to enhance cross-sectoral coordination to maintain the momentum of growth acceleration in the medium term while preserving stability,’ Deni said.
Furthermore, Deni said that collaboration with Danantara is being strengthened through strategic investments outside the State Budget (APBN). However, the focus remains on sustainable profits, including continuing to mobilise high value-added private investment.
‘The governance and operation of Danantara are maintained credible with measured risk, so that Danantara becomes a credible, well-governed strategic investment instrument aligned with long-term macro-fiscal stability,’ he said.
It is noted that in Fitch’s projection, Indonesia has a good track record of maintaining macroeconomic stability, contained inflation, and a relatively moderate public debt structure compared to peers.
The adjustment of Fitch’s outlook from stable to negative relates to several notes. The outlook would return to stable if macroeconomic stability is achieved through consistent policy discipline.