Trade Minister: No Special Incentive Despite Weak Rupiah

JAKARTA — Trade Minister Budi Santoso has urged exporters to capitalise on the rupiah’s weakness against the US dollar to boost local product shipments to international markets. He stated that the current exchange rate presents an opportunity for Indonesian products to become more competitive globally.

Budi explained that a weaker rupiah makes Indonesian export products relatively cheaper internationally, prompting the government to encourage businesses, including young exporters, to increase exports.

“We are pushing for local products to be exported more. When the rupiah weakens, our competitiveness improves and prices become cheaper in international markets,” Budi said during a meeting at the Ministry of Trade headquarters in Jakarta on Monday, 25 May 2026.

He added that the ministry has been in communication with various exporters and business actors to accelerate local product exports amid current exchange conditions.

“We continue to push; yesterday we spoke with young exporters and also with the Indonesian Exporters Association (GPEI) to boost local exports as this is a real opportunity,” he said.

However, Budi confirmed the government has not yet prepared any special incentives for exporters related to the rupiah’s weakness. He noted the current exchange rate itself is an opportunity, making Indonesian products more competitive in export markets.

“No special incentives have been prepared, but this is actually an opportunity as the current rupiah level makes our prices more competitive for export markets,” he said.

The rupiah opened stronger against the US dollar on Monday, 25 May 2026, amid a weakening US dollar in global markets. According to Refinitiv data, the rupiah started trading in positive territory with a 0.06% appreciation to Rp17,680 per US dollar, reversing last week’s decline. On Friday, 22 May 2026, the rupiah closed 0.28% weaker at Rp17,690 per US dollar.