Jakarta. Indonesia's foreign debt declined slightly to $424.8 billion in the fourth quarter of 2024, down from $428.1 billion in the previous quarter, the central bank announced on Monday. Despite the decrease, the figure represents a 4 percent year-on-year increase.

“The foreign debt figure was influenced by the strengthening of the US dollar against most other currencies, including the rupiah,” Bank Indonesia spokesman Ramdan Denny Prakoso said in a statement.

The foreign debt-to-GDP ratio fell to 30.4 percent from 31.1 percent in the third quarter of 2024. Long-term debt accounts for 84.8 percent of the total foreign debt, Ramdan added.

The central bank and the government are working together to ensure that overseas borrowing is directed toward financing development programs and sustaining economic growth, he said.

Of the total foreign debt, $203.1 billion was government debt, down from $204.1 billion in the previous quarter. Ramdan noted that Indonesia's ability to meet debt obligations on time has maintained global investors' confidence in state-issued bonds.

Meanwhile, the private sector's foreign debt stood at $194.1 billion in the last quarter of 2024, compared to $196.3 billion in the third quarter. Nearly 80 percent of the private sector's external debt is concentrated in key industries, including manufacturing, financial services, insurance, electricity, gas, and mining.