- Indonesia’s external debt reached USD 430.4 Bn in Q1-25 (6.4% YoY), driven by public sector debt (13.6% YoY) while private sector contracted (-1.2% YoY).
- Increased government debt allocated to agriculture, logistics, and healthcare services was mitigated by decline in construction, reflecting the shifting priorities of the new administration.
- Acute liquidity pressure led to external borrowing by SOE banks, while the domestic private sector remains cautious.
- Despite large refinancing needs (both government bonds and SRBI) in Q2-25, risk from external debt continues to be limited.
