The Indonesian rupiah has come under significant pressure, breaching\nthe psychological level of Rp 18,000 per US dollar, after the\nresignation of Bank Indonesia (BI) Governor Perry Warjiyo. The\nannouncement triggered market jitters and prompted a sell-off in\ndomestic assets as investors reacted to the sudden leadership vacuum at\nthe central bank.<\/p>\n
At the close of trading on Monday (27\/7\/2026), the rupiah had\nweakened 46 points to Rp 18,009 per US dollar. The depreciation\ncontinued into Tuesday (28\/7\/2026), with the currency falling a further\n90 points or 0.50 percent to trade at Rp 18,099 per US dollar by\nmidday.<\/p>\n
Rahma, an economist and professor at Airlangga University, stated\nthat the market turmoil was primarily driven by the shock resignation.\n\u201cThe announcement has raised concerns among market participants\nregarding the continuity of monetary policy and short-term macroeconomic\nstability, prompting a wait-and-see attitude and selling pressure on\ndomestic assets,\u201d she told Republika on Tuesday (28\/7\/2026).<\/p>\n
Rahma projected that the rupiah would likely continue to face\nheadwinds, forecasting a trading range of Rp 17,930 to Rp 18,100 per US\ndollar. She noted that the currency\u2019s movement would be heavily\ninfluenced by ongoing domestic political dynamics and the market\u2019s\nassessment of the transition.<\/p>\n
Despite the uncertainty, Rahma believes the central bank will act to\nprevent excessive volatility. She noted that Senior Deputy Governor\nDestry Damayanti, now serving as Acting Governor, is a seasoned figure\nwithin the institution. \u201cBI is expected to continue optimising its\nmarket intervention instruments, including spot transactions and\nDomestic Non-Deliverable Forwards (DNDF), to manage the rupiah\u2019s\nmovement and prevent it from breaching critical psychological levels,\u201d\nshe explained.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/rupiah-under-pressure-after-perry-warjiyos-resignation-investors-remain-cautious-1785221593", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }