Bank Indonesia Says Forex Reserves Remained High in June 2023

The position of reserve assets in Indonesia remained high at the end of June 2023, totalling USD137 billion.

IDXChannel - The position of reserve assets in Indonesia remained high at the end of June 2023, totalling USD137 billion.

According to Bank Indonesia (BI), the country's foreign exchange reserves decreased from USD139 billion at the end of May 2023.  

"The decrease stemmed, amongst others, from the obligation of government's external debt repayments," BI Communication Department Executive Director Erwin Haryono said in a media release on Friday (7/7/2023).

The position of forex reserves is equivalent to  6.1 months of imports or 6.0 months of imports and servicing government's external debt, which is well above the international adequacy standard of around three months of imports. 

"Bank Indonesia considers the current level of reserve assets are able to support external sector resilience as well as maintain macroeconomic and financial system stability," he stated.

"Moving forward, Bank Indonesia views that reserves asset will remain ample, supported by stability and maintained economic outlook, in line with the policy mix responses to preserve macroeconomic and financial system stability to bolster sustainable economic growth," he added. (WHY)