Despite the increase, the growth of the foreign debts was relatively stable compared to that of the previous quarter, executive director of the central banks communication department, Tirto Segara, said in a press statement released on Tuesday.
"Bank Indonesia considers the growth of foreign debts in the first quarter of 2016 quite sound. But we have to continue to stay alert for its impact on the national economy. Looking ahead, Bank Indonesia will always monitor the development of foreign debts, particularly those incurred by the private sector," he said.
The governments foreign debts grew 14 percent year-on-year to US$151.3 billion, accounting for 47.9 percent of the overall foreign debts. The growth is higher than that of the previous quarter which reached 10 percent.
Despite the rise, the governments foreign debts are smaller than the private sectors foreign debts which stood at US$164.7 billion, or 52.1 percent of the overall foreign debts.
The central bank said the private sectors foreign debts were dominated by the financial sector, the processing industry, the mining sector and the electricity, gas and clean water sector.
"The foreign debts incurred by the four sectors represent 76.1 percent of the total foreign debts," Tirta said.
The central bank noted that while long-term foreign debts rose 7.9 percent year-on-year to US$277.9 billion, short-term foreign debts fell 8.4 percent to US$38.1 billion.
As of March 31, 2016, the ratio of the countrys foreign debts to national gross domestic product reached 36.5 percent, up by 5 percent from 36 percent at the end of the fourth quarter of 2015.
With the decline in short-term foreign debts, the countrys foreign exchange reserve to offset short-term liabilities has been improving.
Accordingly, the ratio of short-term debts to foreign exchange reserve fell to 35.5 percent as of March 31 compared to 36.7 percent in December 2015.(*)