Rupiah Nears Rp 18,000 After MSCI Maintains Indonesia's Status
The rupiah exchange rate against the US dollar corrected following the announcement of the Morgan Stanley Capital International (MSCI) 2026 Market Classification Review on 24 June 2026 (23 June 2026 US time). The Garuda Currency is now approaching Rp 18,000 per US dollar again. Citing Bloomberg, the rupiah weakened by 93 points, or 0.52 percent, to Rp 17,952 per US dollar at the close of trading on Wednesday (24/6/2026). The rupiah had been saved from its all-time low position, above Rp 18,000 per US dollar, over the last 10 days.
Currency and Commodity Observer Ibrahim Assuaibi stated that internal sentiment influencing the rupiah’s fluctuation included the impact of the MSCI Market Classification Review announcement, which maintained Indonesia in the Emerging Markets (EM) category. However, MSCI noted the potential for a downgrade to Frontier Markets (FM) status if there is insufficient progress in Indonesia’s capital market reform measures. Ibrahim said the market responded positively to MSCI’s decision to postpone the assessment of Indonesia’s market accessibility until November. The extended review follows concerns raised earlier this year regarding market accessibility, with the index provider freezing changes to Indonesian equity indices in January due to investability issues.
“Thus, the review process for Indonesia’s market status is still ongoing and will be a major focus for market participants in the coming months. The evaluation results are considered important as they can provide an overview of international investor perceptions regarding the quality, openness, and efficiency of the domestic capital market,” he stated on Wednesday (24/6/2026).
Other internal sentiment relates to the government’s economic stimulus policy. The government has allocated an economic stimulus package worth Rp 26.34 trillion for the second half of 2026 as an anticipatory measure to face increasing global uncertainty while maintaining national economic growth momentum. Various policies have been prepared to strengthen the resilience of the domestic economy amidst international geopolitical developments that still have the potential to put pressure on the world economy. Therefore, the government is preparing mitigation measures to ensure public consumption and business activity are maintained. The policy package includes tax incentives, support for the transportation sector, industrial strengthening, and the expansion of social assistance.