Jakarta. Indonesia’s government had withdrawn Rp 570.1 trillion ($34.12 billion) in debt as of Oct. 31, reaching 77.94 percent of the 2025 state budget outlook of Rp 731.5 trillion.

Deputy Finance Minister Suahasil Nazara said the government will keep financing activities “on track and anticipatory,” backed by cash buffers, possible prefunding, and active cash and debt management.

As of October, total budget financing stood at Rp 532.9 trillion, or 80.5 percent of the 2025 outlook of Rp 662 trillion. The figure consists of Rp 570.1 trillion in debt financing and a negative Rp 37.2 trillion in non-debt financing.

Suahasil said the House of Representatives has approved the use of Rp 85.6 trillion from the government’s excess budget balance to reduce the need for additional sovereign bond (SBN) issuance.

Improving market conditions, he added, have supported the government’s financing strategy. The domestic sovereign bond market has strengthened despite global volatility, with yields trending lower amid robust onshore financial markets. Indonesia’s country risk has also eased in line with stable economic performance.

The spread between Indonesia’s USD-denominated 10-year sovereign bonds and the 10-year US Treasury narrowed to 57 basis points in November, compared with 84 basis points at the start of the year.

“This reflects lower country risk. Since both are in USD, the comparison is essentially between Indonesia and the US, and the spread has continued to narrow,” Suahasil said.

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