Research & Stock Picks

Economic Reports

02 April 2026

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Samuel Daily Economic Insights 2 April 2026

Overview

Indonesia enters early April 2026 with a mixed macro backdrop, as easing domestic inflation contrasts with weakening external momentum and persistent geopolitical risks. The sharp moderation in manufacturing PMI signals a loss of growth momentum, reflecting both external shocks and domestic recalibration. At the same time, the trade surplus continues to narrow, indicating a gradual erosion of external buffers following a period of strong commodity-driven performance. On the positive side, inflation has eased back within Bank Indonesia’s target range, suggesting subdued demand conditions and reducing immediate pressure on monetary policy. However, global uncertainty remains elevated, particularly from the ongoing Middle East conflict, which continues to disrupt energy markets and supply chains. Oil prices, while slightly correcting, remain elevated and volatile, posing ongoing risks to inflation and fiscal stability. Meanwhile, Indonesia continues to strengthen international partnerships, particularly with South Korea, to support investment inflows and strategic sectors. Overall, the macro outlook reflects a delicate balance between improving domestic stability and rising external vulnerabilities.

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