Ten-Year Government Bond Yields Keep Falling, Finance Ministry Says It Reflects Foreign Investor Confidence
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JAKARTA, Investortrust.id — Indonesia’s 10-year government bond yield has continued to decline throughout 2025, signaling growing investor confidence in the country’s fiscal management and economic outlook, according to the Ministry of Finance.
Deputy Finance Minister Suahasil Nazara said on Tuesday, Oct 14, 2025, that the benchmark yield has fallen to around 6.09%, down from 6.89% at the start of the year.
“This represents a significant decline,” Suahasil said during the October 2025 edition of the APBN KiTa press briefing in Jakarta.
The 10-year bond yield has dropped by 88 basis points, or 12.6% year-to-date, reducing the government’s debt servicing costs. “Compared with the US 10-year Treasury yield, the spread has narrowed from around 240–260 basis points at the start of the year to roughly 206 basis points,” he added.
Suahasil noted that the continued inflow of foreign capital into Indonesian government securities reflects sustained global confidence in the country’s fiscal discipline and economic stability.
“As of Oct 9, 2025, foreign investors had added Rp 26 trillion, showing their trust in Indonesia’s fiscal performance and economic prospects,” he said.
Finance Minister Purbaya Yudhi Sadewa, along with other top officials, joined the briefing, emphasizing that declining yields not only help ease fiscal pressures but also indicate the credibility of Indonesia’s macroeconomic management.