Wahyu Dwi Anggoro
IDXChannel - Standard and Poor's (S&P) has affirmed Indonesia's Sovereign Credit Rating at BBB with a stable outlook.
The decision was announced on Tuesday (4/7/2023).
According to S&P, key factors that support the affirmation are the economy's sound growth prospects, historically prudent policy, and rapid fiscal consolidation.
The stable rating outlook reflects S&P expectation that Indonesia will achieve solid economic growth over the next two years which will support fiscal performance and debt stabilization.
"S&P's rating affirmation reflects strong confidence from international stakeholders on Indonesia's sustained macroeconomic stability and medium-term economic prospects, amid escalating global risk stemmed from geopolitical tensions and the global economic slowdown. This is supported by high policy credibility and the effectiveness of the policy synergy between Bank Indonesia and the Government," said Bank Indonesia (BI) Governor Perry Warjiyo in a media release on Wednesday (5/7/2023).
"Going forward, Bank Indonesia will continue to closely monitor global and domestic economic and financial developments, formulate and execute the necessary policy measures to ensure macroeconomic and financial stability, and strengthen the synergy with the Government to achieve sustainable economic growth," the BI Governor added.
