- Indonesia’s trade surplus contracted to USD 89 Mn in Apr-26, as imports growth (31.28% MoM) outpaced exports growth (12.32% MoM).
- The MoM growth in exports was primarily driven by CPO and machinery while precious metals demand declined.
- Imports accelerated yearly across all three product categories despite contractive Apr-26 PMI, potentially indicating a split between the government engine and the private engine.
- Looking ahead, several factors suggest that the downward trend in the trade balance may continue, including the weakening exchange rate, tight global liquidity, and blurry export system adjustment.
