Rupiah Reverses Course to Strengthen, Driven by Economic Growth Figures
REPUBLIKA.CO.ID, JAKARTA – The rupiah exchange rate reversed course to strengthen on Wednesday (6/5/2026), leaving behind the Rp17,400 level per US dollar. Observers assess that the rupiah’s strengthening is influenced by Indonesia’s positive economic growth figures for the first quarter of 2026, and the government’s commitment to continue rolling out economic stimuli.
Quoting Bloomberg, the rupiah strengthened by 36.50 points or 0.21 per cent to the level of Rp17,387 per US dollar at the close of trading on Wednesday (6/5/2026). In the previous trading session, the rupiah was at Rp17,424 per US dollar.
“(Internal sentiment) The government, through Finance Minister Purbaya Yudhi Sadewa, stated that Indonesia’s economy is beginning to show accelerated growth after recording positive performance in the first quarter of 2026. The economic growth achievement of 5.61 per cent indicates that the national economic trend is starting to move in a stronger direction compared to previous periods,” said Currency and Commodities Observer Ibrahim Assuaibi in his statement on Wednesday (6/5/2026).
However, this acceleration is assessed as not yet fully understood by market players, who instead continue to show concern and tend to withdraw funds from the capital market. Therefore, the government has stated it will maintain the growth momentum in the following quarters through various follow-up policies. Coordination with Bank Indonesia (BI) continues to be strengthened, particularly in maintaining financial system liquidity.
In addition, the government is also preparing an additional stimulus package to encourage economic activity in the near future. With these steps, the government hopes that economic growth acceleration can continue and provide positive impacts on business activities and market confidence going forward.
“However, many economists are questioning the calculation of first-quarter 2026 economic growth at 5.61 per cent. One of them is the Consumer Confidence Index (IKK) data issued by Bank Indonesia in March 2026 at 122.9 basis points, which is down compared to January 2026 at 127.0 basis points,” he continued.