Rupiah Holds Near IDR17,900 Amid Steady Reserves, Elevated Dollar

2026-10-07 06:40 By Farida Husna 1 min. read

The Indonesian rupiah remained near IDR 17,900 per U.S.

dollar on Wednesday, little changed from the previous session, as September forex reserves held steady around USD 146.3 billion, near a five-month high.

The domestic backdrop was also supportive, with Finance Minister Suahasil Nazara projecting economic growth above 5.5% in H2 2026 after 5.45% in H1, while the government pursues more targeted spending, improved spending efficiency and tax incentives for key sectors.

The World Bank likewise highlighted resilient household consumption and government spending despite global headwinds.

Bank Indonesia continued to support the rupiah through spot, DNDF and offshore NDF interventions, with greater reliance on cost-effective derivatives.

Traders now await consumer confidence and retail sales data, due later this week.

Globally, the dollar index steadied near 102, staying elevated ahead of the Fed’s latest meeting minutes and further remarks from officials, capping room for rupiah gains.



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Rupiah Holds Near IDR17,900 Amid Steady Reserves, Elevated Dollar
The Indonesian rupiah remained near IDR 17,900 per U.S. dollar on Wednesday, little changed from the previous session, as September forex reserves held steady around USD 146.3 billion, near a five-month high. The domestic backdrop was also supportive, with Finance Minister Suahasil Nazara projecting economic growth above 5.5% in H2 2026 after 5.45% in H1, while the government pursues more targeted spending, improved spending efficiency and tax incentives for key sectors. The World Bank likewise highlighted resilient household consumption and government spending despite global headwinds. Bank Indonesia continued to support the rupiah through spot, DNDF and offshore NDF interventions, with greater reliance on cost-effective derivatives. Traders now await consumer confidence and retail sales data, due later this week. Globally, the dollar index steadied near 102, staying elevated ahead of the Fed’s latest meeting minutes and further remarks from officials, capping room for rupiah gains.
2026-10-07
Rupiah Gains Capped by Dollar Strength, External Risks
The Indonesian rupiah hovered around IDR 17,910 per U.S. dollar on Tuesday, edging higher from the previous session as traders awaited key domestic releases later this week, including September forex reserves, consumer sentiment, and August retail sales. Meanwhile, fiscal conditions through August were supported by revenue growth, even as tax-restitution delays reportedly persisted. The upside remained limited, however, as Indonesia's external position stayed vulnerable, with elevated imports and energy costs weighing on the balance amid persistent Middle East headwinds. Inflation could also become harder to contain in the coming months as food prices stay elevated following supply disruptions linked to El Niño. On the global front, the dollar index lingered near an 18-month high, lifted by elevated U.S. Treasury yields and higher oil prices, while euro weakness amid political and fiscal concerns in the eurozone further boosted demand for the greenback, capping further rupiah gains.
2026-10-06
Rupiah Eases Ahead of Key Local Data
The Indonesian rupiah slipped toward IDR 17,950 per U.S. dollar on Monday after briefly firming to around IDR 17,850 in the previous session. The weakness came as the dollar index held near an 18-month high, despite traders scaling back bets on an imminent Federal Reserve rate hike following soft U.S. jobs data. Caution prevailed ahead of key domestic releases this week, including September forex reserves and August retail sales. Meanwhile, Indonesia’s external position remained fragile despite an August trade surplus, with elevated imports and energy costs weighing on the balance amid Middle East uncertainty. Still, fiscal conditions stayed supportive, with the deficit contained through August, providing some support for the rupiah. Local media also said Bank Indonesia could raise its benchmark rate to 6% in the coming months as rising food and energy costs and recent rupiah weakness heighten inflation risks. In September, annual inflation accelerated to 3.28%, a three-month high.
2026-10-05