Indonesia welcomed 2019 with stable foreign exchange reserves, Bank Indonesia (BI) announced on Thursday, while economists said more favorable external conditions would pave the way for the country to build up reserves this year.
Foreign exchange reserves stood at US$120.1 billion in January, slightly down from $120.7 billion the previous month, according to the central bank’s statement posted on its official website.
The figure was equal to the financing of 6.7 months of imports or 6.5 months of imports and payment of the government’s short-term external debt, well above international standards of three months of imports.
“The decline of foreign exchanges reserves in January was due to the need for the government to pay its external debt,” BI communication department executive director Agusman said in the statement.
It was the first decline in reserve…