Rupiah Weakens to Rp 17,863 Ahead of BI Rate Decision and Iran-US Peace Deal
Jakarta – The Indonesian rupiah exchange rate against the US dollar is predicted to remain volatile and close weaker in today’s trading. Based on Jakarta Interbank Spot Dollar Rate (Jisdor) data from Bank Indonesia, the rupiah stood at Rp 17,753 on Monday, 15 June 2026, weakening by 34 points from the previous rate of Rp 17,719. In spot market trading on Thursday, 18 June 2026, as of 09:07 WIB, the rupiah was transacted at Rp 17,863 per US dollar, a decline of 101 points or 0.57 percent from the previous position of Rp 17,762 per US dollar.
Economic and money market observer Ibrahim Assuaibi said market attention is focused on the Bank Indonesia Board of Governors Meeting (RDG BI) taking place on 17-18 June 2026. This meeting is considered crucial, as last week BI surprisingly raised the benchmark interest rate, or BI Rate, by 25 basis points to 5.50 percent through a weekly RDG. “A similar move also occurred at the previous monthly RDG, when BI raised the interest rate by 50 basis points,” Ibrahim stated in his daily research note on Thursday, 18 June 2026. Thus, BI has recently taken aggressive steps to maintain rupiah exchange rate stability. This policy has drawn market attention, especially as the rupiah had previously experienced considerable pressure against the US dollar.
Additionally, Indonesia is no longer dependent on crude oil imports from the Middle East region that are shipped through the Strait of Hormuz. The Indonesian government has secured national energy supplies through long-term contracts with several other supplier countries. This diversification of crude oil supply sources is intended to safeguard national energy security while reducing the risk of supply disruptions caused by geopolitical dynamics in the Middle East. With this strategy, Indonesia has alternative crude import sources to meet domestic needs. Nevertheless, the government still prioritises price considerations in determining crude oil supply sources. The government will select oil sources that offer the most competitive prices to maintain efficiency and reduce the state’s fiscal burden.