Indonesia's Balance of Payments Surplus of US$6.1 Billion in the Fourth Quarter of 2025

Bank Indonesia (BI) revealed the performance of the Indonesian Balance of Payments (NPI) in the fourth quarter of 2025 recorded a surplus of 6.1 billion US dollars, or increased compared to the third quarter of 2025 of 4.0 billion US dollars.

BI Communication Department Executive Director Ramdan Denny Prakoso said that the performance of Indonesia's Balance of Payments in the fourth quarter of 2025 improved to support external resilience.

"The transaction recorded a low deficit supported by the continued surplus of the merchandise trade balance in the midst of a deficit in the services balance and primary income," he said in a statement, Friday, February 20.

Meanwhile, he added that capital and financial transactions recorded a surplus supported by foreign capital inflows in the form of direct investment, portfolio investment, and other investments.

Denny said the capital and financial transaction balance recorded a surplus of US$8.3 billion in the fourth quarter of 2025, after recording a deficit of US$8.0 billion in the third quarter of 2025.

According to him, direct investment still recorded a surplus as a reflection of maintaining investors' positive perception of Indonesia's economic prospects and investment climate.

Denny said that portfolio investment recorded a surplus supported by increased foreign capital inflows along with attractive investment returns. Other investments also recorded a surplus influenced by the withdrawal of foreign loans.

On the other hand, Denny said that overall in 2025, the development of NPI showed the resilience of the external sector which remained maintained, amid increasing uncertainty in the global financial market.

"The 2025 transaction recorded a controlled deficit of 1.5 billion US dollars (0.1 percent of GDP), lower than the 2024 deficit of 8.6 billion US dollars (0.6 percent of GDP)," he said.

Denny said this development was influenced by the increase in the trade balance surplus of goods in line with the improved export performance, especially the export of manufactured products.

In addition, he added that the surplus in the secondary income balance was also higher due to the increase in remittance receipts from Indonesian Migrant Workers (PMI).

Meanwhile, Denny said the services balance of payments deficit increased driven by an increase in the telecommunications services deficit in line with the improvement in the information and communication sector.

"The deficit in the primary income balance also increased due to the increase in dividend payments," he said.

The capital and financial transactions in 2025 recorded a deficit of 4.2 billion US dollars driven by the outflow of foreign capital flows on portfolio investments and other investments in line with high global financial market uncertainty throughout 2025.

According to him, the position of foreign exchange reserves increased from US$ 155.7 billion at the end of December 2024 to US$ 156.5 billion at the end of December 2025.

He added that the foreign exchange reserve position was equivalent to financing 6.2 months of imports and government external debt, and was above the international adequacy standard of around 3 months of imports.

Looking ahead, Denny said Bank Indonesia always pays attention to the dynamics of the global economy which can affect the prospects of NPI and continues to strengthen the response of the policy mix, supported by close policy synergy with the Government and related authorities to strengthen external resilience.

He said that the performance of the 2026 NPI is expected to remain good with a current account deficit that remains low in the range of a deficit of 0.9 percent to 0.1 percent of GDP.