Ahead of BI's RDG, Rupiah Exchange Rate Strengthens to Rp17,130/US$

Jakarta, CNBC Indonesia - The rupiah exchange rate opened stronger against the US dollar on this morning’s trading session, Wednesday (22/4/2026). According to Refinitiv data, the Garuda currency began trading in the green zone with an appreciation of 0.06% to the level of Rp17,130/US.ThisstrengtheningcontinuesthepositivetrendaftertheprevioustradingcloseonTuesday(21/4/2026), whentherupiahalsomanagedtostrengthen0.15. Meanwhile, the US dollar index (DXY), which measures the strength of the greenback against six major world currencies, was observed to weaken slightly by 0.04% to the level of 98.353 at 09:00 WIB. Nevertheless, in the previous trading session, the DXY had sharply strengthened 0.30% to the position of 98.394. The rupiah’s movement in today’s trading is still influenced by external factors, particularly the renewed interest among market players in the US dollar as a safe-haven asset amid uncertainties regarding the prospects of a ceasefire and peace talks between the US and Iran. In addition, market sentiment is also influenced by statements from the prospective chair of the US Central Bank (The Federal Reserve/The Fed), Kevin Warsh, which are seen to reinforce the view that US interest rates will remain high. Coupled with solid US economic data, this makes the US dollar still quite attractive to investors. This situation limits the room for strengthening of other countries’ currencies, including the rupiah. Domestically, market players are also awaiting the results of Bank Indonesia’s Board of Governors Meeting (RDG), which will be announced today, Wednesday (22/4/2026). The consensus gathered by CNBC Indonesia from 14 institutions and agencies shows a compact result, with all respondents predicting that BI will again maintain the benchmark interest rate at the level of 4.75%. This expectation aligns with the view of the Head of Economics at Bank Maybank Indonesia, Juniman, who believes that BI still does not have sufficient safe room to ease policy. According to him, the ongoing pressure on the rupiah amid global financial market uncertainties and escalating geopolitical tensions is the main reason why BI does not yet have sufficient safe room to ease policy. “We predict that Bank Indonesia will maintain the BI Rate at the level of 4.75% in April 2026. This is due to the ongoing pressure on the rupiah resulting from global financial market uncertainties and the impact of increasing geopolitical tensions, namely the Iran, Israel, and US war,” Juniman told CNBC Indonesia.