Rupiah Hits All-Time Low Against Riyal, Hajj Costs Rise

The rupiah exchange rate against the Saudi Arabian riyal (SAR) has once again recorded an all-time low. According to Refinitiv, at the close of trading on Thursday (9 April 2026), the Garuda currency closed in the red with a 0.44% weakening against the Saudi riyal to Rp4,551/SAR. This level marks the rupiah’s weakest position ever against the Saudi riyal. During intraday trading this morning at 09:18 WIB, the rupiah continued to weaken by 0.11% to Rp4,556/SAR. Over the course of 2026 so far, the rupiah has depreciated by around 2.52% against the Saudi currency. One of the most dominant factors behind the rupiah’s weakening against the riyal is the onset of the 2026 Hajj pilgrimage season. Ahead of the Hajj season, the need for foreign currency tends to increase, particularly the Saudi riyal and other currencies including the US dollar (USD). This is understandable as most Hajj organisation expenses in Saudi Arabia are paid in foreign currency, from accommodation and meals to transportation and pocket money for pilgrims. In such conditions, demand for the riyal usually rises. When demand for foreign currency increases while supply does not grow at the same rate, the rupiah faces pressure. Hajj Organisation Cost Payment Realisation According to the Hajj Financial Management Agency (BPKH), as of 8 April 2026, the realisation of transfers for the 2026 Hajj Organisation Cost (BPIH) has reached 70.95% of the total budget of Rp18.21 trillion. The funds transferred amount to Rp12.92 trillion to the Indonesian Ministry of Hajj and Umrah. Broken down by currency, payments in Saudi riyal are closest to completion. Progress on riyal needs has reached 93.73%, far higher than USD needs at 35.17% and rupiah at 42.01%. BPKH states that the transfer realisations were made based on certain exchange rates set from the beginning. “Overall, the transfer realisations have reached 70.95% of the total budget, using an assumed rate of Rp16,500/USD and Rp4,400/SAR,” quoted from BPKH’s press release today, Friday (10 April 2026). The fact that riyal needs are almost fully met indicates very high demand for this currency ahead of the Hajj season. This signals that foreign exchange needs for Hajj organisation are entering a more intensive phase. Not only that, on 9 April 2026, BPKH also stated that it has prepared SAR 152.4 million in banknotes for the living costs of Hajj pilgrims for 1447 H/2026 AD. BPKH also assures that the remaining payment obligations will be settled gradually in the coming months. “Going forward, BPKH is committed to completing the remaining transfer obligations of Rp5.29 trillion (29.05%) gradually until July 2026,” BPKH continued in its press release.