Why Primus Requested Perry Warjiyo's Resignation Amid Rupiah Plunge
Primus Yustisio, a member of Commission XI of the House of Representatives (DPR) from the National Mandate Party (PAN) faction, has requested that the Governor of Bank Indonesia (BI), Perry Warjiyo, step down from his position. This demand follows the rupiah’s plunge to its lowest level, exceeding 17,600 per US dollar.
“Mr Perry, whom I respect, sometimes taking a gentlemanly action is not an insult. Perhaps it is time for you to resign. There is nothing wrong with that; the next step is, of course, up to you,” Primus stated during a meeting between Bank Indonesia and Commission XI of the DPR in Senayan, Jakarta, on Monday, 18 May 2026.
The politician, who is also a former soap opera actor, noted that while economic growth remains relatively high at 5.61 per cent, the rupiah is simultaneously experiencing its deepest depreciation. He also highlighted the rupiah’s weakness against other major currencies. According to Primus, a resignation would be seen as an honourable move, similar to practices often observed in Japan or South Korea.
In addition to Primus, several other council members questioned Perry regarding the rupiah’s weakening. Harris Turino, a member of Commission XI from the Indonesian Democratic Party of Struggle (PDIP) faction, questioned why the rupiah continues to falings against the dollar despite the various measures implemented by the central bank.
“All instruments available to BI have been utilised. So why does the rupiah continue to depreciate?” Harris asked. He acknowledged that while global pressures are a major cause, there are serious domestic issues that must be honestly addressed, including fiscal problems, a current account deficit, large-scale capital outflows, and a decline in investor confidence in the Indonesian economy.
Eric Hermawan, a member of the Golkar Party faction in Commission XI, even proposed that Bank Indonesia raise the benchmark interest rate (BI rate) to prevent further rupiah collapse amidst the strengthening US dollar.
As of Monday afternoon, 18 May 2026, the rupiah exchange rate was recorded at 17,664 per US dollar. The currency has remained at the 17,000 level since early April 2026 without showing signs of recovery, moving further away from the 2026 State Budget (APBN) macro assumption target of 16,500 per US dollar.
Josua Pardede, Chief Economist at Permata Bank, stated that the recent weakness in the rupiah is driven by both global and domestic factors. Globally, the depreciation is triggered by energy inflation, global interest rate expectations, and demand for the US dollar. Pressure on the rupiah is not merely a monetary issue but is also driven by assessments from international institutions, such as Morgan Stanley Capital International (MSCI) regarding share ownership and volume. Consequently, from the beginning of the year through April, there has been significant foreign capital outflow from the Indonesian financial market. Furthermore, international rating agencies Moody’s and Fitch revised the country’s debt outlook from stable to negative earlier this year, reflecting concerns regarding the credibility of the government’s policy mix.