Indonesia's government cash and cash equivalents reached Rp 123.16 trillion in 2025, with a significant portion held in foreign currencies including the US dollar and Japanese yen, according to a report by CNBC Indonesia.
The breakdown of the state Treasury's liquidity highlights the composition of the country's financial buffer at a time of heightened volatility in Asian currencies.
While the rupiah-denominated portion is explicitly quantified, the inclusion of yen holdings introduces a valuation risk given the recent depreciation of the Japanese currency.
The Japanese yen has recorded its largest weekly decline in more than two months, sinking to levels not seen in four decades against the US dollar.
This movement underscores a widening divergence in monetary policy between Japan and the United States, with the Bank of Japan facing pressure to implement further interest rate hikes to stabilize the currency.
The U.S. Treasury Department has issued a stark warning regarding the Japanese yen, stating that excessive volatility in the currency is undesirable.