Bank Indonesia Cites Global Uncertainty for Rupiah Decline

3 hours ago 3

April 23, 2026 | 05:00 pm

TEMPO.CO, Jakarta - The Indonesian rupiah weakened further on Thursday morning, April 23, 2026, hovering above the 17,200 level against the US dollar and briefly breaching 17,300. Data from Trading Economics showed the currency slipping to Rp17,306 per dollar at 02:40 PM local time.

Senior Deputy Governor of Bank Indonesia, Destry Damayanti, said the rupiah’s movement remains broadly in line with regional trends, noting a year-to-date depreciation of 3.54 percent.

“The pressure on the rupiah is driven by rising global uncertainty, which is also weighing on regional currencies,” she said in a statement on Thursday.

Amid the volatility, Bank Indonesia has stepped up market interventions to stabilize the exchange rate. The central bank is also reinforcing pro-market monetary instruments to sustain the attractiveness of domestic assets, particularly as geopolitical tensions in the Middle East continue to weigh on global sentiment.

Stabilization measures include interventions in offshore non-deliverable forward (NDF) markets, domestic spot and DNDF markets, as well as purchases of government bonds (SBN) in the secondary market. Destry added that Indonesia’s foreign exchange reserves remained solid at US$148.2 billion as of end-March 2026, providing a strong buffer against external shocks.

“Bank Indonesia remains present in the market and will continue to take measured steps to maintain rupiah stability,” she said.

Separately, Bank Indonesia data showed the Jakarta Interbank Spot Dollar Rate (JISDOR) stood at 17,179 per US dollar on Wednesday, April 22, with the currency largely trading around the 17,000 level since early April.

Ibrahim Assuabi, Director of PT Traze Andalan Futures, said the rupiah’s move past 17,300 exceeded earlier expectations.

“It is likely that by the end of April, possibly next week, the rupiah could weaken beyond 17,400 per US dollar,” he said.

Ibrahim attributed the pressure mainly to external factors, including escalating tensions in the Middle East. He noted that recent talks between the United States and Iran, reportedly facilitated by Pakistan, failed to yield an agreement after Iran did not participate.

He also pointed to heightened tensions following the reported seizure of an Iranian tanker in the Strait of Hormuz.

Read: Indonesia Monitors Rupiah as It Weakens Past 17,300, Says Airlangga

Click here to get the latest news updates from Tempo on Google News

Indonesia Monitors Rupiah as It Weakens Past 17,300, Says Airlangga

4 jam lalu

Indonesia Monitors Rupiah as It Weakens Past 17,300, Says Airlangga

Coordinating Minister Airlangga Hartarto addresses the Rupiah's depreciation to the 17,300 per US dollar level.

Fitch Ratings Downgrades Outlook for Four Indonesian Banks

6 jam lalu

Fitch Ratings Downgrades Outlook for Four Indonesian Banks

Fitch Ratings has downgraded the outlook of four major banks in Indonesia, including Bank Mandiri, BRI, BCA, and BNI.

Rupiah Crumbles Against US Dollar as Iran War Rages

7 jam lalu

Rupiah Crumbles Against US Dollar as Iran War Rages

The exchange rate of the rupiah broke the level of 17,200 per US dollar on this Thursday morning, April 23, 2026, and even briefly reached the level of 17,300 per US dollar.

Bank Indonesia Opens Door for Banks to Trade NDFs Abroad

22 jam lalu