The Ministry of Finance (MoF) has stated that Indonesia's foreign trade balance, which once again recorded a surplus, demonstrates the resilience of Indonesia's external sector. Amidst the moderating trend of commodity prices and a slowdown in global economic growth, Indonesia's trade balance continues to show a surplus. This indicates the strength of Indonesia's external sector, which we will continue to safeguard, said the Head of the Fiscal Policy Agency (BKF) of the Ministry of Finance. Indonesia's trade balance recorded a surplus of USD 3.42 billion in September 2023. This achievement marks Indonesia's 41st consecutive month with a surplus. Cumulatively, from January to September 2023, Indonesia's trade balance surplus reached USD 27.75 billion. Although still in surplus, Indonesia's international trade activities have decreased in line with the moderating trend of global commodity prices and a slowdown in the economies of several key trading partner countries. The prices of some of Indonesia's major export commodities, such as palm oil, coal, and nickel, have significantly declined compared to the previous year.
In September 2023, exports amounted to USD 20.76 billion, contracting by 16.17% YoY from a high base last year, primarily in the industrial and mining sectors. Meanwhile, Indonesia's imports amounted to USD 17.34 billion, a 12.45% decrease compared to the same period last year. The decline in import value occurred in raw materials/auxiliary materials and capital goods, while consumer goods imports grew by 4.74% YoY. The decrease in export and import values is not unique to Indonesia but is also evident in many of Indonesia's main trading partner countries, such as China, India, the United States, Vietnam, and South Korea, in line with the global economic slowdown trend. The volume of Indonesia's exports has shown an increase of 7.29% during the January-September 2023 period, supported by mineral fuel, including coal, animal or vegetable oils, iron and steel, and nickel. In the face of the increasingly complex challenges of global slowdown, the Government remains optimistic and committed to mitigating the impacts of the global slowdown. One of the strategies being implemented involves closely monitoring the effects of global slowdown on national exports. The Government has also prepared anticipatory measures by promoting the sustainable downstreaming of natural resources, improving the competitiveness of national export products, and diversifying key trading partners.
