INDONESIA D AILY ECONOMIC UPDAT E
                                     Monday, 2 September 2019



ECONOMIC HIGHLIGHTS


     •    Headline inflation rose to 3.5 percent yoy in August 2019, due to higher food and
          beverage prices.
     •    Parliament request the government to propose changes in 2020 state budget if
          macroeconomics assumptions deviated by 10 percent or more.
     •    The HIS Markit Indonesia Manufacturing Purchasing Managers’ Index (PMI) fell from 49.6
          in July to 49.0 in August, a 25-month low.


DAILY INDONESIAN FINANCIAL INDICATORS

                                                                                 Change                   Change or total
                                                         Date of                  since
                                                                       Unit
                                             Latest       latest                   last         In last       In last     Year-to-
                                             value        value                  trading        week*         month*       date
                                                                                   day

Stock market
Jakarta Composite Index                         6,291      02 Sep                    -0.6%         1.2%          -0.8%        1.6%
                  Net purchases by              -0.10      02 Sep      IDR, tn           --         -1.6           -9.4        58.4
                   foreign investors

Exchange rate: IDR/USD
                   Bank Indonesia              14,190      02 Sep                    -0.3%        -0.5%          -0.1%        -2.0%
                       Bloomberg               14,194      02 Sep                     0.0%        -0.4%           0.1%        -1.4%

Government bonds
              Yield: 1 year IDR bond            6.2%       02 Sep         bps           -1.2          -3           -29          -61
              Yield: 5-year IDR bond            6.9%       02 Sep         bps           -3.7           5           -12         -110
             Yield: 10-year IDR bond            7.5%       02 Sep         bps           -2.9           6           -12          -63
       Foreign holdings of IDR bonds            1,012      29 Aug      IDR, tn             --          4            -2          119
   Indonesia USD bonds strip spread               185      01 Sep         bps            0.0          -9            -1          -52
        Asia USD bonds strip spread               188      01 Sep         bps            0.0          -5             4          -30
 Indonesia sovereign CDS: 5yr, mid-                90      01 Sep         bps            0.0           0             0          -47
                                price

Corporate bonds
  Indonesia USD bonds strip spread                 313     01 Sep          bps          0.0               1         10          -99

Interest rates
                             IndONIA             5.3%      01 Sep          bps          0.0          3.6         -29.9        -58.4
               IndONIA spread relative           -18.2     01 Sep          bps          0.0          3.6          -4.9         -8.4
                         to policy rate

International reserves                          125.9       31 Jul   USD, bn               --         --           2.1          5.2

* One week and month prior to latest observation


SOURCES
Data are taken from the following: the latest Jakarta Stock Exchange and Indonesian government IDR bond yield data are taken from
the Indonesian Stock Exchange (www.idx.co.id). BI IndONIA and IDR mid exchange rates from Bank Indonesia (www.bi.go.id), after
5 pm each day. BI reports international reserves data directly. The Directorate General of Debt Management at the Indonesian Ministry
of Finance provides data on the foreign holdings of IDR government bonds (www.djppr.kemenkeu.go.id). The CDS premium on 5-
year Indonesian government USD bonds and Indonesian corporate bond spreads are sourced from JPMorgan.