Rupiah strengthens to Rp17,980 as foreign exchange reserves data improves

The rupiah exchange rate against the US dollar strengthened by 15 points, or 0.08 percent, to close at Rp17,980 per dollar on Tuesday afternoon, compared to the previous close of Rp17,995 per dollar.

Doo Financial Futures analyst Lukman Leong said the rupiah’s strengthening was triggered by an increase in foreign exchange reserves. "The rupiah strengthened in response to the reserves data, which rose for the first time in six months," he said in Jakarta.

Bank Indonesia reported that the country’s foreign exchange reserves at the end of June 2026 stood at $145.6 billion, a slight increase of $700 million from the end of May 2026 position of $144.9 billion. The development in the June 2026 reserve position was mainly driven by tax and service revenues.

This occurred amid government external debt payments and Bank Indonesia’s rupiah stabilisation policy in response to high global financial market uncertainty. The reserve position at the end of June 2026 was equivalent to financing 5.5 months of imports, or 5.4 months of imports and government external debt payments, and is well above the international adequacy standard of around three months of imports.

However, Lukman noted that investors still tended to be in a wait-and-see mode, anticipating several upcoming domestic economic data releases, including retail sales and the consumer confidence index. The US dollar index was also observed to be range-bound, with investors awaiting the minutes of the FOMC meeting.

The Jakarta Interbank Spot Dollar Rate also moved stronger to Rp17,988 per US dollar from Rp17,999 per US dollar previously.