Rupiah Weakens Amid Attack on Saudi Oil Refinery

Jakarta (ANTARA) - The rupiah weakened by 28 points, or 0.15 per cent, against the US dollar at Wednesday’s close, to Rp18,184 per dollar from Rp18,156 at the previous close.

Currency analyst and PT Traze Andalan Futures director Ibrahim Assuabi said the rupiah’s weakness was influenced by attacks by Yemen’s Ansarullah (the Houthis) on Saudi Arabia’s largest oil refinery.

“Saudi authorities did not immediately confirm the attack on the facility, which has a capacity of 550,000 barrels per day,” he said in a written statement in Jakarta on Wednesday.

Ansarullah had previously also attacked pumping stations along Saudi Arabia’s East–West oil pipeline, which allows crude to be transported without passing through the Strait of Hormuz, as well as King Khalid International Airport in Riyadh.

The attacks were said to have raised concerns about the security of alternative export routes, particularly as shipments through the Strait of Hormuz—a vital route for global oil supplies—remain severely disrupted by the wider conflict involving Iran.

Meanwhile, delegations from Saudi Arabia, Türkiye and Pakistan held talks with Iranian officials in Tehran. They agreed to continue discussions aimed at strengthening regional peace and security, although they have yet to achieve the desired outcome.

Investors are also watching the US Federal Reserve’s policy decision today for signals about the economic outlook and fuel demand.

“Higher oil prices could add to inflationary pressure, potentially making the central bank’s policy choices more difficult,” Ibrahim said.

Bank Indonesia’s Jakarta Interbank Spot Dollar Rate (JISDOR) also weakened today, to Rp18,183 per US dollar from Rp18,139 previously.