Jakarta. Indonesia’s financial regulator sought to reassure markets after Fitch Ratings revised the country’s sovereign outlook to negative while maintaining the investment-grade rating at BBB, saying the domestic financial services sector remains fundamentally resilient.

The Financial Services Authority (OJK) said capital levels across financial institutions remain well above regulatory requirements and liquidity conditions are still ample, indicating that the rating outlook shift reflects external risks rather than weaknesses in Indonesia’s financial system.

Acting Chairman of the OJK Board of Commissioners, Friderica Widyasari Dewi, said the change in outlook largely mirrors global uncertainties, although the regulator will continue monitoring factors cited in Fitch’s assessment.

“Indonesia’s financial system remains supported by a strong supervisory framework, and we will continue pursuing structural reforms to enhance transparency, deepen the capital market, and strengthen investor confidence over the long term,” Friderica said in a statement on Thursday.

She added that financial intermediation continues to expand in line with economic fundamentals, supporting financing for productive sectors.

“OJK also views Fitch’s assessment that places Indonesia relatively better than several peer countries as a reflection of confidence in the country’s policy capacity and institutional resilience,” Friderica said.

The regulator is currently implementing the Capital Market Roadmap 2023–2027, which includes measures to improve ownership transparency, strengthen free-float requirements, and tighten law enforcement to bolster market integrity.

As a member of the Financial System Stability Committee (KSSK), OJK said it will continue strengthening coordination with the government and other authorities to ensure credible policy implementation amid global uncertainty.

“OJK believes credible reforms, strong supervision, and close policy coordination will further reinforce the resilience of the financial services sector and enhance investor confidence,” Friderica said.

Fitch’s outlook revision reflects evolving external risks and policy dynamics rather than a reassessment of Indonesia’s credit fundamentals or the strength of its financial system.

The reaffirmation of the BBB rating also signals recognition of Indonesia’s track record in maintaining macroeconomic stability, supported by relatively resilient growth prospects, moderate government debt levels, and broadly solid economic fundamentals.