JAKARTA, Sept. 15 (Xinhua) -- Indonesia's central bank, Bank Indonesia (BI), announced on Wednesday that the country's foreign debt in July was recorded at 415.68 billion U.S. dollars, a slight growth of 1.7 percent year-on-year but lower than the previous month's 2.0 percent.
Of the 415.68 billion dollars, the foreign debt of the government stood at 205.86 billion dollars, the central bank's debt was 2.84 billion dollars, and the private sector's debt was 206.98 billion dollars.
"This development is mainly due to the slowing growth of the government's external debt," Head of the Communications Department of Bank Indonesia Erwin Haryono said.
The government's foreign debt grew by 3.5 percent year-on-year, but slowed down from 4.3 percent in the previous month, in line with the decrease in the position of the state securities to support the economic recovery amid COVID-19 and bilateral loan payment.
Meanwhile, the private debt of 2.84 billion U.S. dollars grew slightly by 0.1 percent year-on-year while contracting 0.2 percent compared to the previous month with the main sectors of finance and insurance services.
"Indonesia's foreign debt in July 2021 remained under control, as reflected in the ratio to the gross domestic product in the range of 36.6 percent, and was dominated by long-term debt reaching 88.3 percent," Haryono explained.
Bank Indonesia also continues to optimize the foreign debt to support the financing development and encourage the national economic recovery, Haryono added.