Fitch Maintains INA Rating at BBB With Negative Outlook - Tempo.co English
TEMPO.CO, Jakarta - Fitch Ratings has affirmed the Indonesia Investment Authority's (INA) long-term foreign- and local-currency issuer default ratings at BBB, with a negative outlook.
Fitch also affirmed INA's short-term foreign-currency issuer default rating at F2. Its long-term national rating remains at AAA(idn), with a stable outlook.
Fitch Senior Director and Primary Rating Analyst Paul Norris said the Indonesian government's support for INA was a key factor behind the ratings. Fitch assigned a government support score of 45 out of 60, indicating that it considers government support for INA highly likely if needed.
"This reflects our assessment of the government's responsibility and incentive to support the issuer," Norris said in a written statement on Wednesday, September 16.
Norris said INA's ratings are aligned with those of the Indonesian government, which Fitch rates BBB with a negative outlook. INA's negative outlook on its long-term ratings also mirrors the government's outlook.
Fitch also cited INA's governance and oversight structure as a factor supporting its assessment. INA reports directly to the president, while its supervisory board includes the finance minister and the head of the state-owned enterprise regulatory body.
INA's business activities also require approval based on key performance indicators, with quarterly operational and financial reporting.
Fitch said a default by INA could affect the availability and cost of financing for the Indonesian government and other state-owned companies. It could also weaken investor confidence in Indonesia's investment climate.
The potential impact is particularly relevant given INA's partnerships involving about US$25 billion in investment commitments in Indonesia, according to Fitch.
"However, this assessment is constrained by INA's limited debt and the fact that INA is not viewed as a benchmark issuer for the government in the debt markets," Norris said.
Despite the risks, Fitch said INA's financial position strengthened in 2025.
INA's revenue rose to Rp8.5 trillion in 2025 from Rp5.9 trillion a year earlier, while net profit increased to Rp7.4 trillion from Rp5.3 trillion.
Investment income also increased to Rp866.3 billion from Rp504.4 billion in 2024.
Fitch said INA's liquidity remained adequate, supported by cash, time deposits and bond holdings.
However, INA's cash balance fell to Rp9.8 trillion in 2025 from Rp12.8 trillion in 2024 as the sovereign wealth fund accelerated investments in priority sectors.
