Dollar Nearly Reaches Rp17,000, Purbaya: Rupiah Should Strengthen

Jakarta — Finance Minister Purbaya Yudhi Sadewa expressed confusion on Monday 16 March 2026 over the weakening of the rupiah against the US dollar in early trading this week, despite Indonesia’s domestic economy remaining fundamentally sound.

The rupiah closed the day weaker against the US dollar, declining 0.30% to Rp16,985 per US dollar according to Refinitiv data. During the first trading session, the currency weakened further, nearly touching Rp16,990 per dollar. This marks a continuation of downward pressure on the rupiah that began in the previous week’s trading.

“I don’t understand why it’s weakening. You should ask Bank Indonesia about the rupiah. You should ask Bank Indonesia what is happening,” Purbaya stated following a coordination meeting at the Coordinating Ministry for Economic Affairs on Monday 16 March 2026.

“If I comment, it could be problematic. It’s central bank policy intervention. I don’t understand that. So you have to ask Bank Indonesia,” he added.

However, he stressed that Indonesia’s economy remains fundamentally sound, even claiming that economic growth is accelerating. Given these strong fundamentals, the rupiah should therefore be strengthening rather than weakening.

“If the economy is running well, running quickly, accelerating more and more, the fundamentals should be good. If things are normal, the rupiah should strengthen,” he asserted.