S&P Will Not Change Indonesia's Credit Rating for the Next Two Years
Finance Minister Purbaya Yudhi Sadewa stated that S&P Global Ratings will not change Indonesia’s credit rating or outlook for the next two years. This certainty, he said, was obtained during a meeting with S&P officials in New York City, United States, some time ago.
“The main point is what they said: Your rating remains BBB, outlook stable. Well, I said thank you,” Purbaya remarked when met at his office in Central Jakarta on Tuesday, 21 April 2026.
S&P is said to continue maintaining Indonesia’s credit rating at the BBB level with a stable outlook. Purbaya mentioned being initially surprised by the result until receiving an explanation that the condition is expected to remain unchanged for the next two years.
Finance Minister Purbaya denied any threat of a change to Indonesia’s credit rating reportedly to occur in June. He stated that S&P’s visit to Indonesia in that month is only for discussions and to review the consistency of policies previously conveyed.
He also said that S&P has refuted an internal study that once claimed Indonesia’s debt rating is the most vulnerable in Southeast Asia. According to Purbaya, the rating agency’s confidence arose after receiving explanations regarding the national economic conditions and the direction of government policies.
Previously, S&P Global Ratings highlighted the ratio of the government’s debt interest payments to revenue, which has been above 15 percent. This warning was conveyed by the S&P team to Finance Minister Purbaya Yudhi Sadewa during a meeting in Washington DC, United States, on Tuesday, 14 April 2026.
After the meeting, Purbaya revealed the notes provided by S&P. “They gave a warning, discussing in more depth, that interest payments compared to income are above 15 percent,” Purbaya stated in his remarks, quoted on Saturday, 18 April 2026.
This year, Indonesia’s debt interest payments are nearly Rp 600 trillion, targeted at Rp 599.5 trillion in the state revenue and expenditure budget (APBN). These debt interest payments have risen compared to 2025, recorded at Rp 552.1 trillion, or Rp 488.4 trillion in 2024.
The safe ratio of debt interest payments to state revenue, based on standards from several institutions including S&P, is generally below 15 percent. With Indonesia’s debt interest payments this year reaching Rp 599.5 trillion, while state revenue is targeted at Rp 3,153.9 trillion, the ratio has reached 19 percent.
This means that 19 percent of total state revenue is used solely to pay debt interest. The percentage of debt interest payments to revenue has also increased compared to last year, which reached 18.38 percent.