Bank Indonesia : Indonesia’s External Debt Growth Accelerated in November 2015

Indonesia's external debt in November 2015 grew by 3.2% (yoy), higher than growth of 2.5% (yoy) in October 2015, driven primarily by an increase in long-term external debt growth. The long-term external debt grew by 6.1% (yoy), higher than the previous month growth of 5.5% (yoy). Meanwhile, short-term external debt growth decreased by -12.5% (yoy). With this growth, Indonesia's external debt position at the end of November 2015 stood at USD304,6 billion.

Based on original maturity, Indonesia's external debt position was dominated by long-term external debt (86.6% of total external debt). The long-term external debt in November 2015 reached USD263,9 billion, consisted of public sector external debt amounted to USD134,8 billion (51.1% of total long-term external debt) and private sector external debt amounted to USD129,1 billion (48.9% of total external debt long-term). Meanwhile, short-term external debt reached USD 40.7 billion (13.4% of total external debt), consisted of private sector external debt amounted to USD37,7 billion (92.7% of total short-term external debt) and public sector external debt amounted to USD3,0 billion (7.3% of total short-term external debt).

Based on group of borrower, the increase in external debt growth in November 2015 occurred in both private and public sector external debt. The private sector external debt grew 3.4% (yoy), higher than the growth in the previous month of 2.5% (yoy), mainly influenced by nonbank external debt. Meanwhile, the public sector external debt grew 2.9% (yoy), higher than the growth in the previous month of 2.6% (yoy). With these developments, the position of public and private sector external debt respectively stood at USD137,7 billion (45.2% of total external debt) and USD166,8 billion (54.8% of total external debt).

The private sector external debt position at end November 2015 was mainly concentrated in financial, manufacturing, mining, and electricity, gas & water supply sectors. The share of these four sectors to total private external debt reached 75.9%. The annual external debt growth of the financial, manufacturing and electricity, gas & water supply sectors accelerated compared to the previous month. Meanwhile, the annual external debt growth of mining sector went to contraction, deeper than the contraction in the previous month.

Bank Indonesia views the development of Indonesia's external debt remained acceptable, although its risk on the economy still needs to be aware of. Going forward, Bank Indonesia will continue to monitor Indonesia's external debt particularly the private sector external debt, in order to ensure that the role of external debt in supporting national development financing can be optimized without the provision of risks which can disrupt macroeconomic stability.

The complete data concerning the Indonesia's external debt can be found in the latest External Debt Statistics of Indonesia in Bank Indonesia website.