Indonesia's External Debt Rises to US$431.7 Billion in Q4 2025

Jakarta — Bank Indonesia (BI) recorded that Indonesia’s external debt increased to US$431.7 billion in the fourth quarter of 2025, up from US$427.6 billion in the third quarter. The external debt-to-GDP ratio stood at 29.9 per cent.

BI Executive Director of the Communications Department Ramdan Denny Prakoso stated that Indonesia’s external debt structure remains healthy, supported by the application of prudential principles in its management. In addition to the well-maintained ratio, BI noted that Indonesia’s external debt is dominated by long-term maturities, accounting for 85.7 per cent of the total.

Ramdan disclosed that in order to maintain a healthy external debt structure, BI and the Government continue to strengthen coordination in monitoring external debt developments.

“The role of external debt will also continue to be optimised to support development financing and drive sustainable national economic growth. These efforts are undertaken whilst minimising risks that could affect economic stability,” said Ramdan in a statement on Thursday, 19 February 2026.

He elaborated that government external debt in Q4 2025 was recorded at US$214.3 billion, higher than the Q3 2025 position of US$210.1 billion.

This development was influenced by foreign capital inflows into international Government Securities (SBN) amid continued investor confidence in Indonesia’s economic prospects, despite increasing uncertainty in global financial markets.

As one of the instruments in state budget (APBN) financing, government external debt is managed prudently, measurably, and accountably, with utilisation continuously directed towards supporting priority programme financing to maintain fiscal sustainability and strengthen the national economy.

Government external debt usage is focused on supporting the health services and social activities sector (22.1 per cent of total government external debt), government administration, defence, and compulsory social security (19.8 per cent), education services (16.2 per cent), construction (11.7 per cent), and transportation and warehousing (8.6 per cent).

Government external debt is dominated by long-term debt, with a share reaching 99.99 per cent of total government external debt.

Meanwhile, private sector external debt was recorded at US$192.8 billion in Q4 2025, declining from US$194.5 billion in Q3 2025. This development was influenced by a decrease in external debt held by non-financial corporations.