Rupiah Steady as BI Holds Rates, Signals FX Support

2026-04-22 08:10 By Farida Husna 1 min. read

The Indonesian rupiah was little changed, hovering around IDR 17,170 on Wednesday afternoon after the central bank left its benchmark rate at 4.75% for a seventh straight meeting, as expected.

Governor Perry Warjiyo said the decision aims to stabilise the currency, stressing readiness to adjust policy and intervene while keeping inflation within target.

He noted that forex reserves around USD 148 billion in March remain adequate, with BI prepared to step up intervention in spot and forward markets.

Warjiyo noted the rupiah is undervalued relative to fundamentals.

The currency has touched record lows several times this month, rattled by Indonesia’s reliance on imported energy despite recent non-subsidized fuel price hikes.

Persistent capital outflows also weighed, reflecting fiscal concerns and broader risk-off sentiment tied to the Middle East conflict.

Policymakers kept their 2026 growth outlook at 4.9% to 5.7% and expect inflation to stay within the 1-1/2% to 3-1/2% band until 2027.



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