Indonesia’s trade balance recorded USD 1.72 billion surplus in August 2017 after experiencing a deficit of USD 270 million in July 2017. Cumulatively, the trade surplus in January to August 2017 reached USD 9.11 billion, 77.58 percent higher than the same period last year amounting to USD 5.13 billion.
Agusman, Executive Director of the Communication Department at Bank Indonesia, said the trade surplus in August was supported by non-oil and gas trade balance surplus that exceeds oil and gas trade balance surplus. The non-oil and gas trade surplus in August 2017 reached USD 2.41 billion, higher than July 2017 of USD 340 million.
“The non-oil and gas trade surplus is supported by non-oil and gas exports which increased to USD 1.49 billion (month to month/ mtm) while non-oil and gas imports fell to USD 580 million (mtm),” said Agusman.
Non-oil and gas exports are contributed by export growth of vegetable oil, machinery and electrical equipment, jewelry, and knitted products. Meanwhile, the decline in non-oil and gas imports was due to lower imports of vehicles and spare parts, optical devices, cotton and fertilizers.
The oil and gas trade balance recorded a deficit of USD 680 million in August 2017, higher than USD 610 million in July 2017 due to higher oil and gas imports of USD 180 million (mtm) compared to the increase of oil and gas exports amounting to USD 110 million.
BI considers the trade balance surplus to be a positive sentiment for the Indonesian economy. It is expected to continue to improve in line with global economic growth and high commodity prices. (*)