Indonesia's Foreign Exchange Reserves Drop to Rp2,631 Trillion Following External Debt Payments
Indonesia’s foreign exchange reserves experienced a decline in May 2026. Bank Indonesia (BI) recorded the position of foreign exchange reserves at the end of May 2026 at US$144.9 billion, or approximately Rp2,631 trillion, assuming an exchange rate of Rp18,158 per US dollar.
This figure represents a decrease of approximately US$1.3 billion or Rp23.6 trillion compared to the end of April 2026, which stood at US$146.2 billion. The decline followed a similar drop from the end of March 2026, when reserves were at US$148.2 billion.
The Head of the Communication Department of Bank Indonesia, Ramdan Denny Prakoso, stated that the development of foreign exchange reserves in May was influenced by several factors, including the payment of the government’s external debt. He noted that despite these obligations, the reserves continued to receive support from the government’s global bond issuances as well as tax and service revenues.
In addition to external debt payments, the decline was also influenced by Bank Indonesia’s rupiah exchange rate stabilisation policies, implemented in response to high uncertainty in global financial markets. Simultaneously, increased seasonal domestic demand for foreign currency also exerted pressure on the reserve position.
Despite the decrease, Bank Indonesia assesses that the current foreign exchange reserve position remains at a strong level. As of the end of May 2026, Indonesia’s reserves are equivalent to 5.6 months of import financing, or 5.5 months of imports and government external debt payments. This position remains well above the international adequacy standard, which generally sits around three months of imports.
Given these conditions, Bank Indonesia is confident that Indonesia’s foreign exchange reserves remain capable of supporting external sector resilience and maintaining national macroeconomic and financial system stability. Looking ahead, Bank Indonesia anticipates that Indonesia’s external resilience will be maintained, supported by adequate reserves and the potential for foreign capital inflows, aligned with positive investor perceptions of the national economic outlook and attractive investment yields.
To strengthen this resilience, Bank Indonesia will continue to increase synergy with the government to maintain national economic stability. Denny concluded that this is essential to maintain economic stability in support of sustainable economic growth.
In detail, exports in April 2026 were recorded at US$25.30 billion or approximately Rp451.858 trillion, while imports reached US$25.21 billion or approximately Rp450.251 trillion.