Purbaya Reports to Prabowo: Foreign Investors Still Trust Indonesia

Finance Minister Purbaya Yudhi Sadewa has stated that the conflict in the Middle East between Iran, the United States, and Israel has not caused foreign investors to flee Indonesia’s debt securities market.

Purbaya conveyed this directly to President Prabowo Subianto during a full cabinet session at the State Palace in Jakarta on Friday, 13 March 2026.

According to Purbaya, based on the yield differential between state securities (SBN) and US Treasury bonds, the spread currently stands at only 243 basis points (bps), up just 0.3 basis points from 240 bps in January 2025.

“The increase is only 0.3 basis points. This means foreign investors still trust us,” Purbaya told Prabowo.

He expressed disappointment that, despite these indicators showing sustained foreign investor confidence in Indonesia, some domestic observers have doubted the government’s ability to maintain stability in the state debt yield amid the period of conflict.

“It’s only the domestic observers who don’t trust us,” Purbaya said.

During the session, Purbaya also reported to the head of state that capital outflows from the SBN market have remained very limited to date.

“Outflows from SBN were only US$0.7 trillion, while SRBI saw inflows of US$2.2 trillion, and in March the stock market also saw inflows of US$2.2 trillion. So after the volatility, in March capital actually continued to flow in, which means they genuinely trust our fundamentals remain sound. These are genuine investors because they are putting their money on the line,” Purbaya explained.