Rupiah Weakens Following Government's New Borrowing of Rp 127.3 Trillion in January 2026

Rupiah Weakens After Government Borrows a New Rp 127.3 Trillion in January 2026

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Jakarta, VIVA – The rupiah’s exchange rate against the US dollar is predicted to remain volatile, but closed lower in trading today.

Based on data from the Jakarta Interbank Spot Dollar Rate, or Jisdor BI, the rupiah’s exchange rate against the US dollar was at Rp 16,830 on Tuesday, 24 February 2026. This position is 12 points weaker than the previous day’s rate of Rp 16,818 on Monday, 23 February 2026.

Meanwhile, in spot market trading on Wednesday, 25 February 2026, until 09.15 WIB, the rupiah was traded at Rp 16,832 per US dollar. This position is 3 points or 0.02 per cent weaker than the previous position of Rp 16,829 per US dollar.

Economic and money market analyst, Ibrahim Assuaibi, said that the government recorded new borrowing of Rp 127.3 trillion throughout January 2026. This figure accounts for 15.3 per cent of the total state budget target for this year, which reaches Rp 832.2 trillion. Debt financing is carried out with the principles of prudence, flexibility, and discipline to keep debt within safe limits.

Meanwhile, non-debt financing at the beginning of this year reached minus Rp 22.2 trillion, or 15.6 per cent of the planned state budget, which was minus Rp 145.1 trillion. This non-debt financing means that it does not increase debt but rather invests in specific sectors.

With the realisation of debt and non-debt financing as mentioned, the overall realisation of financing up to 31 January 2026 reached Rp 105.6 trillion, or 15.2 per cent compared to the outlook of Rp 689.15 trillion.

Overall, the realisation of financing in 2026 until the end of January reached Rp 105.06 trillion, or 15.2 per cent of the target, which is lower than the realisation in 2025, which was 29.6 per cent. This development in the realisation of financing shows a more measured strategy, adjusted to the government’s cash needs and taking into account the dynamics of the financial market.

“The rupiah currency is volatile but closed lower in the range of Rp 16,830 - Rp 16,860,” he said.

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