Indonesia's Oil and Gas Trade Balance Remains in Deficit for Over the Past Seven Years

The Central Statistics Agency (BPS) reported that Indonesia's oil and gas trade balance returned to a deficit of US$2.1 billion, or Rp31.5 trillion (at an exchange rate of Rp15,000 per US dollar), in September 2022.

In detail, Indonesia's oil and gas exports amounted to US$1.33 billion in September 2022. This value dropped by 21.41% from the previous month. Meanwhile, Indonesia's oil and gas imports reached US$3.43 billion last month. This value only decreased by 7.44% from the previous month.

Indonesia has consistently experienced a deficit in its oil and gas trade balance for over seven years. Increased domestic oil consumption, driven by economic growth and a rising number of domestic vehicles, has led to a surge in demand for fuel.

Meanwhile, national oil production is dwindling due to a lack of new productive oil wells. Furthermore, Indonesia's oil refinery capacity is insufficient to meet domestic fuel needs, resulting in a persistent oil and gas trade deficit since March 2015.

The following are the values of Indonesia's oil and gas imports in September 2022:

* Crude oil: US$1.12 billion
* Refined oil products: US$2.01 billion
* Gas: US$294.3 million

The oil and gas trade deficit reached its lowest point in July 2022, at US$3.09 billion, as shown in the graph. Cumulatively, from January to September 2022, the oil and gas trade deficit reached US$18.89 billion, or Rp283 trillion.