Indonesia maintains healthy debt ratio amidst global pressure

“Amidst pressures, including rising global oil prices, Indonesia is stronger than its peers. From a fiscal perspective, we maintain a prudent deficit, remaining below 3 percent. The debt ratio is also maintained below 60 percent,” the ministry’s director of economic stabilization strategy, Noor Faisal Achmad, stated during the Central Bank Forum 2026 here on Monday.

Indonesia has so far recorded high economic growth, controlled inflation, and a fiscal condition that is considered well-maintained, he added.

The economic stability that has been maintained is also reflected in improvements in welfare indicators, such as declining unemployment and poverty rates in recent years.

However, he emphasized that a healthy fiscal space is a crucial factor, especially when global energy prices rise and put pressure on the economy.

With a strong fiscal position, the Finance Ministry believes Indonesia has a greater capacity to mitigate the impact of external shocks without compromising the credibility of the State Budget (APBN).

Therefore, amid the risk of rising living costs due to global energy pressures, the government will continue to strive to ensure that external shocks do not directly burden the public. In this context, the APBN is once again positioned as a shock absorber for the economy.

The government ensures that it will continue to monitor global developments and prepare mitigation measures should pressures increase. These efforts include budget and program efficiency, as well as encouraging increased state revenues to maintain fiscal resilience.

Related news: Govt to maintain debt ratio, deficit at set limits

Related news: Indonesia’s debt ratio at 39.86 percent of GDP, still at safe level

Related news: Indonesia maintains lowest debt ratio among G20 members: Minister

Translator: Imamatul Silfia, Yashinta Difa