Half of Foreign Debt to the Financial Sector

Half of Indonesia's foreign debt flows to the financial sector. Bank Indonesia (BI)'s foreign debt statistics as of March 2017 recorded that the foreign debt position in the finance, leasing, and corporate services sector increased by 4.2 percent to US$ 172.79 billion, or approximately Rp 2.3 quadrillion (thousand trillion), from its position at the end of 2016. This figure represents 52.4 percent of Indonesia's total foreign debt, which amounted to US$ 326.34 billion or Rp 4.34 quadrillion. This amount is also the largest compared to other sectors.

The second largest flow of foreign debt is in the manufacturing sector, with a value of US$ 34.78 billion (10.65 percent) of the total foreign debt. This is followed by the electricity, gas, and clean water sector in third place with a value of US$ 24.33 billion (7.45 percent), and the mining sector in fourth place with a value of US$ 22.9 billion (7 percent) of the total foreign debt.

Government and central bank foreign debt in the first quarter of 2017 increased by US$ 8.17 billion (5.16 percent) to US$ 166.45 billion, or approximately Rp 2.21 quadrillion, from its position at the end of 2016. Meanwhile, private sector foreign debt only increased by US$ 1.09 billion (0.69 percent) to US$ 159.89 billion, equivalent to Rp 2.13 quadrillion.