Jakarta. Indonesia recorded a $7.2 billion surplus in its balance of payments (BoP) throughout 2024, an increase from $6.3 billion in the previous year, Bank Indonesia announced on Thursday.

The capital and financial account registered a surplus of $16.4 billion, a significant jump from $9.9 billion in 2023. Bank Indonesia attributed this growth to strong foreign capital inflows, reflecting investor confidence in Indonesia’s economy.

“Overall, the Indonesian BoP demonstrated strong resilience against external pressures, despite continued uncertainties in the global financial market,” Bank Indonesia spokesman Ramdan Denny Prakoso said in a statement.

Current Account Deficit and Trade Pressures
Despite the overall BoP surplus, Indonesia’s current account -- which measures trade in goods and services, income from abroad, and current transfers -- posted a $8.9 billion deficit (0.6 percent of GDP), compared to $2 billion (0.1 percent of GDP) in 2023.  It indicates that Indonesia spends more on foreign goods and services than it earns from exports.

The widening deficit was driven by a shrinking trade surplus, as demand weakened from key export destinations, Ramdan explained. This trend highlights Indonesia’s vulnerability to fluctuations in global trade and commodity markets.

Indonesia’s foreign exchange reserves grew significantly, reaching $155.7 billion by December 31, 2024, up from $146.4 billion in 2023. By the end of January 2025, reserves had increased further to $156.1 billion, providing a strong buffer against external shocks and supporting exchange rate stability.