Indonesia`s foreign exchange reserves increase to US$128.8 billion in August

Jakarta (ANTARA News) - Indonesias foreign exchange reserves were recorded at US$128.8 billion in August, higher than $127.8 billion in July.

"The rise was especially caused by the foreign exchange income from taxes, the governments part of oil and gas exports, and results of the auction of Bank Indonesia securities in foreign denominations," Agusman, the executive director of Bank Indonesias Communications Department, noted in an official statement received by ANTARA here on Friday.

The foreign exchange income surpassed needs, especially for paying the governments foreign debts and maturity of BI securities in foreign currencies.

Foreign exchange reserves recorded at the end of August were sufficient for paying 8.9 months of imports or 8.6 months of imports and the governments foreign debt payment and was also above the international standard of adequacy, which is at some three months of imports.

Bank Indonesia viewed that the reserves could support the resilience of the external sector and help maintain sustainability of Indonesias future economic growth.

In July, the countrys foreign exchange reserves were also higher than $123.08 billion recorded in the previous month.

The hike recorded in the month was due to foreign exchange income from the issuance of government global bonds, taxes, and the governments part of oil and gas exports, as well as the results of the auction of foreign-denominated Bank Indonesia securities, among others.(*)