Puan: Indonesia Faces Pressure on the Rupiah Exchange Rate
Jakarta, VIVA – The Speaker of the Indonesian House of Representatives (DPR RI), Puan Maharani, opened the 18th Plenary Session of the DPR RI for the Fifth Sitting Period of the 2025–2026 Session Year at the parliamentary complex in Senayan, Jakarta, on Tuesday, 12 May 2026.
In her speech, Puan spotlighted the rupiah’s exchange rate, which has continued to weaken up to the present. She assessed that this is a consequence of the intensifying conflict in the Middle East.
She explained that Indonesia is now under significant pressure due to this geopolitical and geo-economic conflict. One of the main causes is the closure of the strategic Strait of Hormuz route.
Puan stated that the Strait of Hormuz is one of the world’s vital arteries for energy trade.
“Tensions in the Middle East region are not just a regional issue but have transmitted into the national economy. We (Indonesia) are experiencing pressure on the rupiah exchange rate,” said Puan.
In addition, Puan said that the Middle East conflict is also affecting energy prices, fuel oil (BBM), and logistics costs at both global and Indonesian levels.
“The rise in energy and fuel oil prices, increased logistics and distribution costs, and pressure on national energy resilience due to disruptions in the global supply chain,” she said.
Puan also highlighted the rise in import goods prices felt by Indonesian society. She assessed that this price increase could cause inflation and reduce people’s purchasing power.
“This situation has the potential to trigger inflation, reduce people’s purchasing power, and increase the burden on business actors, particularly in the industrial, transportation, and SME sectors, which are highly sensitive to rising operational costs,” she concluded.
It is known that the rupiah exchange rate is once again under pressure. In today’s trading, citing Bloomberg data on Tuesday, 12 May 2026 at 10:16 WIB, the rupiah weakened by 99 points or 0.57 percent. The rupiah weakened and broke through to the level of Rp17,513 per USD.
This weakening has triggered concerns because it has the potential to directly impact goods prices and the cost of living for the public.
The pressure on the rupiah this time is influenced by the heating up of the conflict in the Middle East, which increases global economic uncertainty.