BPKH Head Reveals Several Challenges in Managing Hajj Funds

Jakarta – The head of the Hajj Financial Management Agency (BPKH), Fadlul Imansyah, has disclosed several challenges in managing hajj funds, with currency exchange rates emerging as a principal concern. He noted that hajj fund requirements must be fulfilled to the tune of 80% in Saudi Riyals and US Dollars, whilst the funds collected are in Rupiah.

“For example, this year approximately Rp 18 trillion must be allocated as hajj costs, with 80% of that required in Saudi Riyals and US Dollars. This is the core challenge to our financial liabilities,” Fadlul explained at the 99th Forum of Sharia Economy Economists 2026, themed “Mainstreaming Sharia Economy as a New Pillar of National Economic Growth” at Bank Mega Tower Auditorium in South Jakarta, on Wednesday (25 February 2026).

The difference in currency usage, according to him, represents one of the most substantial challenges, as foreign exchange rates are frequently influenced by global conditions and demonstrate considerable volatility.

“If we examine accounting standards theoretically, obligations payable in foreign currency should actually be recorded in that foreign currency in our accounts,” he stated firmly.

Fadlul added that BPKH is a state institution managing funds belonging to the Muslim community and serves as a representative of state financial management. Accordingly, BPKH has been conducting a foreign currency inventory and holding discussions with the central bank. The intention is for these measures to become a strategy to mitigate currency exchange volatility.

“Fortunately, Bank Indonesia understands that BPKH has substantial obligations in US dollars, so we have been permitted to purchase US dollars gradually, but we must report on every purchase,” Fadlul revealed.

For context, Indonesia is home to the world’s largest number of hajj pilgrims, with over 200,000 hajj pilgrims and 1.5 million umrah pilgrims annually. These figures demonstrate the existence of a global economic ecosystem of considerable value, encompassing hotels, food and beverage, transport, logistics, and various supporting services.