BI Maximises Monetary Operations in Response to Rupiah Weakening to Rp17,000 per US Dollar
The rupiah exchange rate remains steady above Rp17,000 per US dollar as of this morning. The weakening has occurred since the beginning of the week, driven by the impact of global geopolitical turmoil.
In response, Bank Indonesia is optimising the use of all its monetary operation instruments and policies to maintain exchange rate stability.
“In the midst of very high global uncertainty, stability is currently the priority for Bank Indonesia,” said Senior Deputy Governor of BI Destry Damayanti in an official statement in Jakarta, quoted on Wednesday, 8 April 2026.
Destry explained that BI is consistently and measuredly present in the money market, both in the spot market, Domestic Non-Deliverable Forward (DNDF) in the domestic market, and Non-Deliverable Forward (NDF) in the offshore market. The impact of the Middle East conflict is two-way. Rising commodity prices and Indonesia’s position as an exporting country can have a positive effect on the economy, thus able to offset the pressure on the exchange rate due to that escalation.
The rupiah exchange rate closed on Tuesday weakening by 70 points or 0.41 percent to Rp17,105 per US dollar from the previous close at Rp16,980 per US dollar. Meanwhile, Bank Indonesia’s Jakarta Interbank Spot Dollar Rate (JISDOR) today also moved weaker to Rp17,092 per US dollar from the previous Rp17,037 per US dollar.
In facing global uncertainty due to the Middle East war, BI previously stated that it would calibrate rupiah intervention instruments by adjusting responses to three war impact scenarios: if world oil prices are not too high, medium, and high.
Previously, BI Governor Perry Warjiyo said that such efforts are also strengthened by maintaining foreign exchange reserves and interest rate policy responses. “We continue to optimise the three monetary intervention instruments with sufficient foreign reserves and strengthened by interest rate policy,” said Perry in a press conference on the results of the BI RDG virtually in Jakarta on Tuesday (17/3).
The central bank views that Indonesia’s Balance of Payments (NPI) performance needs to be continuously strengthened so that it can mitigate the impact of the Middle East war. Various efforts to strengthen the balance of payments performance are also expected to support the stability of the rupiah exchange rate.