Bank Indonesia reports expanding manufacturing sector and stronger business activity

Bank Indonesia said the manufacturing Purchasing Managers' Index (PMI) for Q2 2026 stood at 51.43, indicating modest expansion despite a slight dip from the previous quarter. A separate survey of business activity showed the weighted net balance (SBT) rising to 12.97% from 10.11%, driven by agriculture, construction, mining and services sectors. The central bank also announced ongoing monitoring of liquidity distribution among banks, noting the overnight interbank rate fell to 6.17% in July. Currency‑exchange outlets in Jakarta reported unusually low foot traffic as the US dollar hovered around the Rp 18,000 per dollar level. National Food Agency chief Andi Amran Sulaiman affirmed that Indonesia’s rice self‑sufficiency remains intact, citing a government stockpile of 5.2 million tonnes and overall food‑commodity reserves that meet domestic demand. In the crypto market, prices of Bitcoin and Ethereum climbed following a drop in US inflation to 3.5% in June. The Badan Wakaf Indonesia disclosed that total wakaf assets have reached Rp 30 trillion, far surpassing the RPJMN target of Rp 9.9 trillion, and launched a new policy to certify nazirs and integrate wakaf management into regional performance indicators.