Purbaya: Indonesia's Debt Level Safer Than Malaysia, Thailand

As of March 31, 2026, Indonesia’s total government debt stood at Rp9,920.42 trillion, with a debt-to-GDP ratio of 40.75 percent. The ratio remains below the internationally recognized threshold of 60 percent.

“So, it is still safe. What about Singapore? Malaysia’s debt ratio is above 60 percent. Thailand’s is also high. Compared to neighboring countries, we are among the most cautious,” Purbaya said during a media briefing at his office on Monday, May 11, 2026.

According to Purbaya, Malaysia’s government debt ratio has exceeded 65 percent, while Thailand’s stands at around 63–66 percent. Singapore’s debt ratio reached around 170 percent in April, while Japan’s has climbed to about 250 percent.

Indonesia’s government debt increased by 2.9 percent from Rp9,637.90 trillion at the end of December 2025. The debt ratio also rose slightly from the previous 40.46 percent.

The debt composition is dominated by Government Securities (SBN), which account for 87.22 percent of the total debt portfolio, equivalent to Rp8,652.89 trillion. The remaining Rp1,267.52 trillion consists of domestic and foreign loans.

Although Indonesia’s debt ratio remains below the generally accepted safe threshold, rising debt servicing costs have drawn attention from international institutions. One of them is S&P Global Ratings, which raised concerns during a meeting with Purbaya in Washington, D.C. on April 14, 2026.

S&P highlighted Indonesia’s debt interest payment ratio to state revenue, which has exceeded 15 percent. This year, the government is projected to allocate Rp599.5 trillion for debt interest payments.

Compared with the government’s 2026 state revenue target of Rp3,153.9 trillion, interest payments account for around 19 percent of total income. Relative to the tax revenue target of Rp2,357.7 trillion, the ratio exceeds 25.4 percent.

This means that more than a quarter of Indonesia’s projected tax revenue this year could be used solely to cover debt interest payments, excluding repayment of the principal debt.