Video: BI Prepares 7 Measures for "Rescuing" the Rupiah, How Effective Are They?

The weakening of the Rupiah, which once reached its all-time lowest level at Rp17,400, has prompted the government and monetary authorities, Bank Indonesia, to take strategic steps. Bank Indonesia has prepared seven measures to rescue the exchange value of the Rupiah, which is still considered “undervalued”, through strategies such as Foreign Exchange Interventions in Domestic and Foreign Markets, Optimisation of SRBI for Capital Inflows, Purchasing SBN in the Secondary Market, Maintaining Adequate Liquidity, Tightening Dollar Purchases Without Underlying, Relaxing NDF in the Offshore Market, and Enhancing Supervision of Forex in Banks and Corporates. Reviewing the efforts of BI and the government in safeguarding the Rupiah, CNBC Indonesia Economist Maesaroh hopes these initiatives can stabilise the currency, where the 10-year SBN yield is now declining below 7%. On the other hand, sentiments in the Indonesian capital market have been hit by various issues from global rating agencies regarding MSCI and FTSE Russell assessments, prompting investors to adopt a wait-and-see approach, resulting in the IHSG dropping sharply to the 7,000 level, despite previously breaking through 9,000. What is the analysis of the Rupiah’s movements and the pressures in the Indonesian capital market? For more details, watch the discussion with CNBC Indonesia Economist Maesaroh in Squawk Box, CNBC Indonesia (Friday, 08/05/2026).