Purbaya Clarifies Prabowo's Remark: 'Village People Do Not Use Dollars'

Jakarta, CNBC Indonesia - Finance Minister Purbaya Yudhi Sadewa has explained President Prabowo Subianto’s statement regarding how ‘village communities do not use the United States dollar’. The President’s remarks, made amidst fluctuations in the rupiah exchange rate, have become a subject of discussion among netizens on social media.

Purbaya explained that President Prabowo’s intention was to convey that the US dollar is not used in village operations. This statement was made during the inauguration of the operationalisation of 1,061 Merah Putih Village/Sub-district Cooperatives in Nganjuk Regency.

“It was not in an international context; he was speaking about village cooperatives,” said Purbaya when met at the Directorate General of Taxes Building, Gatot Subroto, South Jakarta, on Monday (18/05/2026).

Furthermore, Purbaya explained that Prabowo is fully aware of the current condition of the rupiah. However, the context of the discussion at that time pertained to the direct use of the US dollar for the Merah Putih village cooperatives.

“That was regarding the consumption of village people at that time. So, do not assume the President does not understand; the President understands the rupiah very well. The context was simply the inauguration of the Merah Putih Village Cooperatives,” he asserted.

At the State Palace, Purbaya also emphasised that the President does not make arbitrary statements regarding the rupiah, ensuring that the President understands the context of the rupiah’s weakening.

“It does not mean the President does not understand the rupiah; he is well-informed. The context was as described,” he added.

Purbaya also noted that the President’s statement was intended to reassure the public.

“It was merely to entertain the people during the event there. I see the context was specifically about rural areas at the time. It is fine to speak in that manner,” said Purbaya.

Previously, President Prabowo Subianto stated that the impact of the rupiah’s depreciation is felt more by groups that frequently transact or travel abroad rather than by rural residents.

“There is no need for you to worry. No matter how many thousands the dollar reaches, you in the villages do not use dollars,” Prabowo said during the inauguration of 1,062 Merah Putih Village Cooperatives.