Indonesia’s apparel maker PT Pan Brothers avoided bankruptcy after it secured creditors’ approval to restructure 8.6 trillion rupiah ($537 million) of debt, Bloomberg News reported. More than 90% of the creditors gave their nod on the company’s latest debt proposal, according to Khusaini, a judge at Indonesia’s Jakarta court, after a voting on Wednesday. “The result will be formalized in a consultative meeting on December 23,” Khusaini, who goes by one name, said.

Indonesia’s central bank stood pat again at its December policy meeting, continuing to hold rates steady for a third straight time as it looks to support the rupiah and the economy, the Wall Street Journal reported. Bank Indonesia’s decision to keep its benchmark seven-day reverse repo rate at 6.00% on Wednesday had been expected to be a close one. Four out of seven economists polled by The Wall Street Journal had forecast a hold, while three had projected a 25-basis-point cut.

Distressed textile giant PT Pan Brothers is closing in on its debt restructuring after seven months of negotiation with creditors, according to people familiar with the matter, as it works to avoid becoming the second Indonesian clothesmaker to be declared bankrupt this year, Bloomberg News reported. Creditors will vote Wednesday on the latest 8.6 trillion rupiah ($537 million) restructuring proposal by Pan Brothers, Bloomberg News reported earlier.

Indonesia said it intervened aggressively in the market to curb the rupiah’s decline as the currency weakened past the key psychological level of 16,000 against the dollar, Bloomberg News reported. “We entered the market with a quite bold triple intervention,” Edi Susianto, executive director for monetary and asset securities management at Bank Indonesia said in text message Friday. Authorities entered the spot, domestic non-deliverable forward and government bond markets to maintain market confidence, he said. The rupiah dropped 0.5% to 16,002 per dollar on Friday.

Indonesia has opened a six-month window until May 2025 for certain businesses to receive full loan forgiveness from state banks, a policy that aims to boost loan and economic growth, according to details of a new regulation, Reuters reported. Indonesia's President Prabowo Subianto last week signed off on a government regulation that allows state lenders to fully write off bad debts of certain micro, small, and medium enterprises (MSMEs), which are major contributors to Indonesia's gross domestic product.

Several lawmakers are considering the formation of a special committee to investigate the recent bankruptcy ruling against Sritex, Indonesia’s largest textile company, which could potentially lead to tens of thousands of job losses, JakartaGlobe.id reported. Members of the House of Representatives' Commission VII on industry and the creative economy revealed the plan during a visit to Sritex’s factory in Sukoharjo Regency, Central Java, on Thursday.

Indonesia plans to cancel as much as $550 million of bad loans owed by small businesses to drive new lending and boost growth in Southeast Asia’s largest economy, Bloomberg News reported. President Prabowo Subianto signed a regulation on Tuesday that paves the way for state-owned lenders such as PT Bank Mandiri and PT Bank Rakyat Indonesia to forgive as much as 8.7 trillion rupiah ($550 million) of troubled loans of small businesses, especially those in agriculture and fishery. Regulators still need to work out what types of loans could be forgiven, he added.

Indonesian textile giant PT Sri Rejeki Isman is contesting a court decision that declared it bankrupt as the company owner pledged to keep its factory open and see through the revival of the business, Bloomberg News reported. Sritex, as the company is more commonly known, filed an appeal on Oct. 25, requesting a review of the local court’s bankruptcy ruling, according to the court’s website.

Indonesia’s central bank kept its key interest rate steady as expected, pausing an easing cycle as external risks drag on the rupiah currency, Bloomberg News reported. Bank Indonesia left the benchmark BI-Rate unchanged at 6% on Wednesday, as predicted by 30 of the 41 economists surveyed by Bloomberg, with the rest expecting a quarter-point cut. Last month, the central bank surprised markets by initiating an easing cycle ahead of the Federal Reserve’s move.

Indonesia's central bank surprised markets by delivering its first rate cut in more than three years on Wednesday, moving to bolster growth in Southeast Asia's largest economy ahead of the start of an expected easing cycle in the United States, Reuters reported. Bank Indonesia (BI) unexpectedly trimmed the benchmark rate, opens new tab by 25 basis points to 6.00%, its first rate cut since February 2021.