S&P Maintains Indonesia's Credit Rating, BI Governor: Global Confidence Preserved

Lembaga pemeringkat S&P Global Ratings (S&P) has affirmed the Republic of Indonesia’s Sovereign Credit Rating at BBB with a stable outlook on 13 July 2026. This underscores the maintenance of Indonesia’s investment grade status.

Bank Indonesia (BI) Governor Perry Warjiyo stated that the affirmation is supported by expectations that the weakening of fiscal and external indicators is temporary and will improve as the direction and implementation of government policy stabilises. The stable outlook reflects expectations that state revenues will continue to recover this year, while export revenues will increase in line with improving commodity prices.

“S&P’s affirmation of Indonesia’s sovereign credit rating at BBB with a stable outlook reflects the sustained confidence of international stakeholders in Indonesia’s macroeconomic stability and solid economic growth prospects,” Perry said in a statement on Tuesday, 14 July 2026.

Bank Indonesia remains committed to strengthening the policy mix of monetary, macroprudential, and payment systems to reinforce stability and support sustainable economic growth. BI is also strengthening policy coordination with the Government, including close synergy between monetary and fiscal policies to mitigate the impact of global uncertainty due to the Middle East conflict on the domestic economy, so that stability and economic growth are maintained.

Policy coordination with the Financial System Stability Committee (KSSK) is also being tightened to maintain financial system stability and encourage financing for the Government’s Asta Cita programmes. “This is supported by close policy mix synergy between the Government and Bank Indonesia in strengthening stability and encouraging domestic economic growth amidst persistently high global uncertainty,” he said.

The government’s policies to increase state revenues and export performance from the natural resources sector are also expected to support revenue increases in the medium term, especially if policy changes become more predictable and are implemented effectively. The stable outlook also reflects the expectation that the government remains committed to maintaining the fiscal deficit below 3% to ensure fiscal sustainability.

Going forward, S&P could raise Indonesia’s sovereign credit rating if the structural strengthening of fiscal and external indicators continues. S&P previously maintained Indonesia’s Sovereign Credit Rating at BBB with a stable outlook on 29 July 2025.