Indonesia's Foreign Exchange Reserves Edge Up in June 2026

Bank Indonesia announced that the foreign exchange reserves position at the end of June 2026 rose slightly to US$145.6 billion. Previously, in May 2026, Indonesia’s foreign exchange reserves stood at US$144.9 billion. “(The foreign exchange reserves) are equivalent to financing 5.4 months of imports and the government’s external debt payments,” said BI Governor Perry Warjiyo during a press conference on Wednesday, 22 July 2026. He stated that the foreign exchange reserves position is above the international adequacy standard of around three months of imports. Perry is also targeting a healthy current account performance for 2026, within a deficit range of 1.3 to 0.5 percent of gross domestic product (GDP). Bank Indonesia also announced that foreign investment flows in the first quarter of 2026 reached US$8.5 billion. Perry said the foreign investment mainly came from Government Securities (SBN) and Bank Indonesia Rupiah Securities (SRBI), which continued until 20 July 2026. “Primarily from SBN, which recorded a net inflow of US$0.1 billion,” he said. According to him, the central bank continues to coordinate policy with the government to strengthen rupiah stability in the face of global dynamics. The BI Governor stated that the development of the rupiah exchange rate against the US dollar as of 21 July 2026 was relatively stable, at a level of Rp 17,885, compared to Rp 17,880 at the end of June 2026. To maintain the stability of the rupiah exchange rate, Perry stated that Bank Indonesia continues to optimise intervention in the offshore market, as well as spot transactions and Domestic Non-Deliverable Forward (DNDF) in the domestic market. Furthermore, the BI Governor said the decision to raise the interest rate on SRBI holdings was taken to attract foreign portfolio investment inflows and strengthen rupiah exchange rate stability. Non-resident holdings in SRBI were recorded as increasing from Rp 238.1 trillion on 15 June 2026 to Rp 288.7 trillion on 20 July 2026. This amount reached 27.1 percent of the total SRBI position. To increase the attractiveness for foreign investors, Perry said Bank Indonesia is optimising all monetary instruments and providing an incentive in the form of a 10 percent reduction in the hedging swap rate previously borne by them. In addition, Bank Indonesia is expanding its foreign exchange monetary operation instruments with spot and swap instruments in offshore Chinese Renminbi (CNH) against the rupiah. This policy is in line with the expanding use of local currency transactions (LCT) for trade and investment.