Indonesian Political, Business & Finance News

Rupiah Hits Rp 17,700 per US Dollar as Mothers Begin Cutting Back on Entertainment and Eating into Savings

| | Source: KOMPAS Translated from Indonesian | Economy
Rupiah Hits Rp 17,700 per US Dollar as Mothers Begin Cutting Back on Entertainment and Eating into Savings
Image: KOMPAS

JAKARTA — The depreciation of the rupiah to around Rp 17,704 per United States dollar is beginning to bite at household level. The rising price of staple goods, school fees, and baby needs is forcing many housewives to think hard about how to keep monthly expenditure under control. Ade Rizky (33), a housewife in Bogor with two children, has started to notice price changes in essentials in recent times. Ade says price increases have not been very high. However, the rise is enough to disrupt household cash flow if it continues for a long period. ‘Prices of essentials have risen slightly, by about Rp 1,000 to Rp 3,000 per kilogram, for items such as eggs, chicken, and spices. It is not significant, but it disrupts household cash flow if it lasts,’ Rizky told Kompas.com on Tuesday (19 May 2026). Household spending has indeed increased. Nevertheless, Ade acknowledges her family’s finances remain relatively resilient. Consequently, Ade’s family has had to trim expenses beyond the essentials. ‘We need to cut back on savings. We have devised options to reduce other costs such as entertainment so that essentials can be met,’ she said. Ade and her husband are now more selective when shopping. Purchases are strictly limited to essential needs rather than discretionary items. ‘We are also actively seeking discounted goods on marketplaces to save more,’ she added. However, Ade is more concerned about daily spending if the rupiah weakens further and starts to affect prices of cooking oil, petrol, and staple foods. ‘If the rupiah continues to weaken and influences the prices of cooking oil, petrol, and staples over a long period, that would be very disruptive,’ she said.

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