Moncer’s Export Performance, Current Account Surplus Again

Armfalcon.com, JAKARTA — Bank Indonesia (BI) recorded a surplus in the first quarter of 2023. This was supported by a surplus in the goods balance which remained high.

BI Communication Department Executive Director Erwin Haryono said, in the first quarter of 2023, the current account posted a surplus of US$3.0 billion or 0.9 percent of GDP. “This continues the achievement of a surplus in the fourth quarter of 2022 of USD 4.2 billion or 1.3 percent of GDP,” Erwin said in a written statement, Tuesday (23/5/2023).

He explained, the surplus in the goods trade balance remained high supported by demand from major trading partners which remained good. Especially for non-oil and gas export commodities and the reduction in the oil and gas deficit in line with the decline in world oil prices.

Meanwhile, Erwin said the services account deficit had decreased. This was supported by the performance of travel services which continued to strengthen in line with increased mobility and the positive impact of opening up the Chinese economy, which prompted an increase in foreign tourist arrivals.

“The primary income account deficit has also decreased due to lower returns on investment,” said Erwin.

The BOP report for the first quarter of 2023 also stated that the current account surplus was sourced from the still high surplus in the non-oil and gas trade balance. In addition, oil prices also continued their downward trend in line with the disruption in global oil supply, which resulted in an improvement in the non-oil and gas deficit.

The non-oil and gas trade balance in the first quarter of 2023 recorded a quite high surplus of US$18.7 billion. Even so, this figure is still lower than the previous quarter’s surplus which was recorded at USD 22.4 billion.