As of the End of July 2022, Government Debt Reaches IDR 7,163 Trillion
Holiday Ayo - The Ministry of Finance recorded the position of government debt as of the end of July 2022 at IDR 7,163.12 trillion with a ratio of 37.91% to gross domestic product (GDP). This figure increased from the previous month's position of IDR 7,123.62 trillion.
As cited from the APBN Kita book, Monday (15/8/2022), the government claims the debt-to-GDP ratio is within safe, reasonable, and controlled limits accompanied by optimal portfolio diversification. This is evidenced by the debt ratio which decreased compared to the previous month at 39.61%.
"In an effort to improve the state budget, the government manages the portfolio so that it is optimal so that the increase in debt has been carefully calculated in order to obtain the most efficient risks and costs," he wrote.
For the type of debt, the majority was dominated by state securities (SBN) which reached 88.50% and the remaining 11.50% were loans. It is known that SBN is IDR 6,339.64 trillion, with domestic SBN IDR 5,033.99 trillion and foreign currency IDR 1,305.65 trillion.
As for loans worth IDR 823.48 trillion. Consisting of domestic loans of IDR 15.65 trillion and foreign loans of IDR 807.82 trillion.
By currency, government debt is dominated by the domestic currency (rupiah) at 70.49%. Foreign investor ownership has continued to decline since 2019 which reached 38.57%, until the end of 2021 it was recorded at 19.05% and as of August 11, 2022 it reached 15.58%.
In terms of maturity, the composition of government debt is said to be managed by considering the ability to pay and fiscal capacity. This can be seen from the average time to maturity throughout 2022 which is still maintained at around 8.7 years.
"Based on these debt risk indicators, it can be said that the Indonesian government's debt is still at a safe level with controlled risk. Prudent debt management, supported by a significant increase in state revenues and better quality of spending is a form of government commitment and responsibility in improving the state budget," he said.
Until the end of July 2022, the realization of debt financing reached IDR 236.9 trillion. This number decreased by 49.5% compared to the same period last year which reached IDR 487.4 trillion.
Debt financing realization consists of SBN (Net) of IDR 223.9 trillion and Loans (Net) of IDR 13 trillion. The realization of the loan consists of the realization of domestic loan withdrawals of IDR 3.1 trillion, the realization of the payment of the principal installments of domestic loans of IDR 0.9 trillion, the realization of the withdrawal of foreign loans of IDR 54.3 trillion and the realization of the payment of the principal installments of foreign loans amounting to IDR 43.4 trillion.