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View all search resultsChina, the world's largest bilateral creditor, has historically played a key role in financing infrastructure projects across the Global South, committing over $472 billion through its policy banks, the China Development Bank and Export-Import Bank, between 2008 and 2024.
Growing concern about debt levels in developed economies could see some bond investors look to emerging market issuances as an alternative, but in Indonesia, they will want answers about the new finance minister and the burden-sharing scheme with Bank Indonesia (BI).
While the burden sharing scheme was an apt instrument during the COVID-19 pandemic, it now risks becoming a fiscal dominance policy, blurring the line between fiscal and monetary policy, accelerating depreciation, eroding market trust and undermining the central bank's independence.
US Treasury Secretary Scott Bessent said on Tuesday that customs duty revenues from President Donald Trump's tariffs may top US$500 billion a year, with a substantial jump from July to August and likely a bigger jump in September.
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