Indonesia’s interest payments were projected to peak at 2.5% of GDP in 2026–2028, up from a prior estimate of 2.4% in 2025. Analysts stated that pre-COVID levels (1.7%) may not return until after 2050 unless the fiscal deficit shrinks or interest rates decline. A 100 bps market rate hike could push the interest burden to 3.5% by 2050.