Indonesia's Trade Surplus Plunges to $100 Million as Oil Imports Jump $1.6 Billion
Updated
Updated · mufgresearch.com · Jun 3
Indonesia's Trade Surplus Plunges to $100 Million as Oil Imports Jump $1.6 Billion
1 articles · Updated · mufgresearch.com · Jun 3
Summary
$100 million — Indonesia’s trade surplus collapsed from $3.3 billion in April, marking a sharp deterioration in the country’s external balance.
$1.6 billion in higher oil imports drove much of the drop, as Asian buyers raced to secure crude supplies from producers including Russia, the U.S., Brazil and Angola.
Holiday timing may have distorted part of the monthly swing, but the weaker surplus also fits pressure already seen in USD/IDR amid domestic policy and fiscal uncertainty.
Higher commodity prices could still support the rupiah, though a more durable turnaround likely needs clearer fiscal policy and progress on Indonesia’s planned commodity export agency.