Markets and Finance
Unstable data delays January 2025 State Budget performance revelation
The Ministry of Finance has eventually revealed the performance of the January 2025 State Budget (APBN) after postponing it for a month.
February 2025 State Budget deficit reaches Rp31.2 T, revenue drops by 20 percent
The Ministry of Finance noted that the State Budget (APBN) deficit in February 2025 reached Rp31.2 trillion (US$1,9 billion) or equivalent to 0.13 percent of Gross Domestic Product (GDP), wider than the January 2025 deficit which was recorded at Rp23.5 trillion (US$1,4 billion) or 0.10 percent of GDP.
Fitch warns of financial risks of Danantara as govt stresses strategic investment
Fitch Ratings has highlighted the risk of the establishment of the Daya Anagata Nusantara Investment Management Agency (BPI Nusantara/ Danantara) to state finances, suggesting that Danantara's investment strategy is unclear.
Goldman Sachs downgrades Indonesian Stocks, fiscal risk in the spotlight
Goldman Sachs, an American multinational investment bank, has downgraded Indonesia's stock rating from overweight to market weight amidst a downgrade of the 10- to 20-year government bonds from the market's favorite position to neutral. The downgrade was driven by increasing fiscal risks in Indonesia.
BI reports decline in net liabilities as foreign assets grow in 2024
The Indonesian Central Bank (BI) reported that Indonesia's international investment position net liabilities throughout 2024 decreased compared to previous years, driven by an increase in foreign financial assets (AFLN) which was higher than foreign financial liabilities (KFLN).
Green electricity exports to Singapore could generate US$4.2 B annually: IEEFA
Indonesia's plan to export renewable electricity to Singapore is expected to generate up to $4.2 billion in annual foreign exchange earnings, along with $210 million to $600 million in income tax revenue, while also strengthening the country's energy transition, a report by the Institute for Energy Economics and Financial Analysis (IEEFA) says.
MIND ID says downstreaming a solution to reduce raw material imports
Indonesia’s state-owned mining holding company, MIND ID, is confient that downstreaming is an answer to the country’s reliance on imported industrial raw materials.
Indonesian furniture industry gears up for global competition
The Ministry of Industry is optimistic that the Indonesian furniture industry will be able to increase their productivity and ready to meet the needs of both domestic and global markets.
BI's independence questioned for disbursing Rp130 trillion on Housing program
An economist has criticized the support by the Indonesian Central Bank (BI) on the affordable housing program initiated by the government of President Prabowo Subianto, saying that it would reduce the bank’s credibility as an independent monetary authority.
BI-RBA renew bilateral Currency Swap agreement
The Indonesian Central Bank (BI) and the Reserve Bank of Australia (RBA) have renewed their Bilateral Currency Swap Agreement (BCSA) after the agreement was signed by BI Governor Perry Warjiyo and RBA Governor Michele Bullock and will be effective from March 4, 2025.
Danantara to manage up to US$35.2 B annually from extractive, alm oil levies
The Investment Management Agency Daya Anagata Nusantara (Danantara) is poised to become administrator of levies taken from extractive industries, particularly coal, nickel and palm oil, which are expected to generate funds for Indonesia’s transition from fossil fuels to clean and renewable energy.
People's purchasing power up, manufacturing grows ahead of Ramadan: Airlangga
Coordinating Minister for the Economy Airlangga Hartarto says people's purchasing power has increased along with the growth of the manufacturing sector which remains positive ahead of Ramadan and Idul Fitri 2025, a condition reflecting the resilience of the national economy amidst various global challenges.