{
    "success": true,
    "data": {
        "id": 1724197,
        "msgid": "rupiah-under-pressure-factors-contributing-to-its-weakening-1778156615",
        "date": "2026-05-07 16:36:00",
        "title": "Rupiah Under Pressure: Factors Contributing to Its Weakening",
        "author": "Sakina Rakhma Diah Setiawan",
        "source": "KOMPAS",
        "tags": "",
        "topic": "Finance",
        "summary": "The Indonesian rupiah has weakened beyond Rp 17,400 against the US dollar, driven by a mix of global and domestic economic factors, including surging global oil prices, high US interest rates, and a strengthening dollar that prompts capital flight from emerging markets like Indonesia. Bank Indonesia Governor Perry Warjiyo highlighted seasonal domestic pressures and external sentiments as key contributors, while experts warn that escalating geopolitical tensions and oil disruptions could push the rupiah to Rp 18,000 or more. Although Indonesia maintains a trade surplus, its narrowing margin offers diminishing support to the currency, underscoring the need for vigilant monetary policy amid these vulnerabilities.",
        "content": "<p>JAKARTA, KOMPAS.com \u2013 The rupiah exchange rate against the US dollar\nbriefly surpassed the Rp 17,400 level, raising concerns among market\nplayers. This pressure on the rupiah is assessed not only to be\ninfluenced by global dynamics but also linked to several domestic\nfundamental economic factors. The weakening occurred amid a combination\nof external and internal pressures, ranging from the surge in global oil\nprices and global interest rate policies to the increasing domestic need\nfor foreign exchange. Bank Indonesia Governor Perry Warjiyo emphasised\nthat the pressure on the rupiah stems from two main sources: global\nfactors and domestic ones. \u201cWhy is there exchange rate pressure in the\nshort term? The reasons are two: there are global factors and then\nseasonal factors,\u201d said Perry during the Financial System Stability\nCommittee (KSSK) press conference on Tuesday (5\/5\/2026). From the global\nside, several external sentiments are exerting strong pressure on the\ncurrencies of developing countries, including Indonesia. High global oil\nprices, the rise in the US benchmark interest rate, and the\nstrengthening of the US dollar are the main factors. \u201cThere is capital\nflight from emerging markets, including Indonesia,\u201d said Perry. Lecturer\nat the Faculty of Economics and Business, Gadjah Mada University (UGM),\nEddy Junarsin explained that high US interest rate policies make global\ninvestors tend to move funds to assets considered safer. According to\nhim, the Federal Reserve is still holding interest rates at high levels,\nthus increasing the attractiveness of financial assets in the US. This\nfund movement causes pressure on the rupiah because demand for the US\ndollar increases, while the supply of foreign exchange domestically is\nlimited. Another significant factor is the rise in global oil prices. As\na net energy importer, Indonesia must spend more to meet its oil import\nneeds. Bank Permata Chief Economist Josua Pardede stated that pressure\non the rupiah is intensifying along with rising global oil prices and\ngeopolitical conflicts. In a more severe scenario, he predicts the\nrupiah could weaken to Rp 18,000\u2013Rp 18,300 per US dollar if oil prices\nsurge higher and global pressures continue. A similar view was expressed\nby Chief Analyst at Doo Financial Futures, Lukman Leong, who highlighted\ndisruptions in global energy distribution routes. \u201cIf the Strait of\nHormuz remains closed and crude oil stays above 100 US dollars, the\nrupiah could reach Rp 18,000,\u201d said Lukman. Eddy explained that\nIndonesia\u2019s trade balance still shows a surplus, but its value has\ndeclined compared to previous periods. This means exports remain larger\nthan imports, but the gap is narrowing, thus weakening support for the\nrupiah exchange rate.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/rupiah-under-pressure-factors-contributing-to-its-weakening-1778156615",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}