KONTAN.CO.ID - JAKARTA. Indonesia's third-quarter current account racked up a surplus of $4.5 billion or 1.5% of GDP, the largest in 12 years, as merchandise exports got a boost from high commodity prices, central bank data showed on Friday. Prior to the COVID-19 pandemic, Indonesia had since late 2011 had a persistent current account deficit that it covered with portfolio inflows. This had caused the rupiah currency to swing significantly during times of capital outflows. But as the pandemic-induced economic recession suppressed demand for imports and exports surged due to the commodity price upcycle, the resource-rich nation has been able to improve its external balance.
Indonesia's Q3 current account surplus biggest in 12 years
KONTAN.CO.ID - JAKARTA. Indonesia's third-quarter current account racked up a surplus of $4.5 billion or 1.5% of GDP, the largest in 12 years, as merchandise exports got a boost from high commodity prices, central bank data showed on Friday. Prior to the COVID-19 pandemic, Indonesia had since late 2011 had a persistent current account deficit that it covered with portfolio inflows. This had caused the rupiah currency to swing significantly during times of capital outflows. But as the pandemic-induced economic recession suppressed demand for imports and exports surged due to the commodity price upcycle, the resource-rich nation has been able to improve its external balance.