21.08.202503:00:00UTC+00Indonesia's Current Account Deficit Worsens in Second Quarter of 2025

Indonesia's current account balance, a critical macroeconomic indicator, experienced a notable downturn in the second quarter of 2025. According to data updated on August 21, 2025, the deficit widened to -0.80% of the Gross Domestic Product (GDP), compared to the -0.10% recorded in the previous quarter.

This development marks a significant shift, signaling increased economic challenges for the Southeast Asian country. The expanded deficit suggests that Indonesia is spending more on foreign trade than it is earning, which can be attributed to various factors such as increased imports, decreased exports, or a combination of both. Such a deficit carries potential implications for Indonesia's economic stability, impacting exchange rates and foreign reserves.

As stakeholders analyze these developments, the focus might turn to the underlying causes and the government's response strategy to address the burgeoning deficit. Evolving trade dynamics, global economic conditions, and domestic economic policies will be critical in shaping Indonesia's current account trajectory in the near future.