Jakarta. The Indonesian government added Rp 744 trillion ($44.2 billion) in new debt throughout 2025, exceeding the Rp 616 trillion target set under the state budget, the Finance Ministry said on Thursday.

The bulk of the new borrowing came from the issuance of government securities, which totaled Rp 736.3 trillion, while other forms of debt amounted to Rp 7.7 trillion.

Speaking at a press briefing in Jakarta, Deputy Finance Minister Thomas Djiwandono said the additional debt was used to cover the state budget deficit, finance government investments, and strengthen the country’s cash position.

Indonesia’s 2025 state budget recorded a deficit of Rp 695.1 trillion, equivalent to 2.92% of gross domestic product, nearing the legal ceiling of 3% set under fiscal rules.

State revenue realization reached Rp 2,756.3 trillion, or 91.7% of the Rp 3,005.1 trillion target outlined in the 2025 budget. Meanwhile, government spending totaled Rp 3,451.4 trillion, representing 95.3% of the Rp 3,621.3 trillion spending allocation.

Indonesia’s total outstanding government debt is estimated to have surpassed Rp 9,420 trillion, or more than 40% of GDP. Under prevailing law, the maximum allowable government debt-to-GDP ratio is capped at 60%.

The Finance Ministry has repeatedly stressed that Indonesia’s debt level remains within prudent limits, although rising borrowing needs continue to draw scrutiny amid slower global growth and higher financing costs.