Bank Indonesia: US$372.9bn Foreign Debt is 'Still Safe'
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25 January 2019 14:00 WIB
TEMPO.CO, Jakarta - Bank Indonesia (BI) said that the amount of Indonesia's foreign debt, which reached US$372.9 billion or Rp5,295 trillion, is "still safe".
The central bank's executive director for economic and monetary policies, Aida S. Budiman, said that the amount foreign debt is only around 80 percent of the total long-term debts or debts that will mature in a year or more.
Compared with neighboring countries, Indonesia's short-term foreign debt is relatively stable in the range of 15-16 percent, not much different from the Philippines's 16.8 percent or Malaysia and Thailand's above 14 percent.
Not only short-term debt, but Indonesia's debt-to-GDP ratio is also quite stable at around 34 percent, which is the ratio over the last three years. This is far below Turkey and Malaysia, whose debt-to-GDP ratios are 57 percent and 65 percent, respectively.
To date, Bank Indonesia (BI) noted that around 90 percent of Indonesia's total foreign debt is hedged. Indonesia's foreign debt at the end of November 2018 was recorded at US$372.9 billion, comprising of US$183.5 billion government and central bank debts, and US $ 189.3 billion privates and SOE debts.
Bisnis.com
