Economist at UOB Group Enrico Tanuwidjaja comments on the recently published FX reserves figures in Indonesia.
Key Takeaways
“Indonesia’s foreign exchange reserves jumped to USD136.4bn in Jun 2022, reversing decline and was highest in 3 months following an increase of USD0.8bn.”
“The latest reserve level was equivalent to finance 6.6 months of import or 6.4 months of imports and servicing the government’s external debt, well above the international adequacy standard of 3 months of imports.”
“Bank Indonesia (BI) maintains their view that the official reserve assets will remain adequate, supported by the stability and solid domestic economic outlook in line with several responsive policies to support long-term economic recovery.”