Indonesia reports stable financial system in third quarter of 2026
The financial stability committee said economic pressures increased from early October as geopolitical conflicts lifted energy prices and monetary policy tightened abroad.
Indonesia’s Financial System Stability Committee (KSSK) assessed the country’s financial system as stable during the third quarter of 2026, Finance Minister Suahasil Nazara told a press conference in Jakarta.
Suahasil said coordination across fiscal, monetary and financial-sector authorities supported that stability. He pointed to solid economic growth and sustained financial intermediation as signs of resilience in the domestic economy.
The committee’s concerns increased after the quarter ended. Suahasil said economic pressure had risen since early October 2026, driven by intensifying geopolitical conflicts that pushed global energy prices higher, alongside monetary tightening in several countries.
Domestically, KSSK flagged tighter liquidity. An announcement by Morgan Stanley Capital International (MSCI) affecting stock market developments, together with pressure on the rupiah, had also influenced financial market conditions. Suahasil said exchange-rate pressure had contributed to greater capital outflows from equities.
KSSK remained confident that Indonesia’s economic fundamentals could support financial stability, while highlighting the importance of adapting policy responses. The committee said it would keep assessing emerging economic and financial risks and strengthen cooperation with stakeholders to limit the effects of global risks on Indonesia.
