- Indonesia’s FX reserves declined to USD 152.5 Bn in Apr-25 (USD 157.1 Bn in Mar-25), driven by BI’s intervention following “Liberation Day” tariffs.
- Short-term bonds experienced net inflows, while stocks experienced net outflow as investors wait out global uncertainty.
- The ability of natural resource exporters to bypass requirement to retain FX funds in domestic banks by converting to IDR has led to declining FX liquidity in Indonesia.
- Refinancing need for SBN & SRBI, dividend repatriation, and hajj pilgrimage could put further pressure on Rupiah in the coming months.
