Rupiah Expected to Remain Under Pressure, Potentially Weakening to Rp 17,020 per US Dollar

Jakarta – The Indonesian rupiah is forecast to face continued pressure in the coming week. The rupiah is expected to weaken to between Rp 16,960 and Rp 17,020 per US dollar during trading on Monday 16 March 2026.

Currency and commodities analyst Ibrahim Assuaibi believes that rupiah movement will remain highly volatile. The closing of trading is expected to remain at weaker levels.

“For trading next Monday, the rupiah will be volatile but is expected to close weaker in the range of Rp 16,960 to Rp 17,020. For the weekly range, Rp 16,850 to Rp 17,150,” Ibrahim said on Saturday 14 March 2026.

This level is lower than the previous close at Rp 16,893 per US dollar.

Ibrahim attributes the pressure on the rupiah to rising global oil prices. This situation emerged following Iran’s new leader Mojtaba Khamenei’s statement that the Strait of Hormuz will remain closed.

The Strait of Hormuz is a critical route for global energy trade. Approximately one-fifth of the world’s oil and gas supplies pass through this waterway.

The closure of this route has triggered significant supply disruptions in the global energy market.

Market participants are concerned that rising oil prices could trigger inflationary pressures across various countries.

“Central banks, such as the Federal Reserve, may be forced to reconsider cutting short-term interest rates if inflation rises. Higher borrowing costs could attract more foreign investment, thereby increasing the appeal of the US dollar,” he explained.