Rupiah rebounds to Rp18,125 per dollar amid global pressure
Bank Indonesia put the currency’s depreciation at about 7.9%, citing pressure from the US dollar, bond yields and geopolitical conflict.
Indonesia’s rupiah closed 0.28 per cent higher at Rp18,125 against the US dollar on 29 October 2026, according to Refinitiv data. The recovery followed a record-low close of Rp18,175 on 28 October.
Speaking at Kadin’s 2026 national leadership meeting, Bank Indonesia Governor Destry Damayanti said the rupiah’s depreciation stood at about 7.9 per cent. She said its volatility nevertheless compared favourably with other currencies as emerging markets faced growing global uncertainty.
Destry pointed to persistently high interest rates, rising US government bond yields and geopolitical conflict as sources of pressure. With US inflation still above 3.5 per cent, against the Federal Reserve’s 2 per cent target, she said another interest-rate increase remained possible in December.
She also cited the US 10-year government bond yield, which had reached 5.3 per cent, and higher oil prices linked to geopolitical conflict. Those conditions were pushing investors towards assets they considered safer, she said, with the dollar remaining a preferred choice because of its widespread use in international transactions.
Destry said Indonesia’s domestic economy remained relatively resilient, citing growth of 5.45 per cent in the first half of 2026, inflation of 3.28 per cent and core inflation of 2.8 per cent. She described the fiscal deficit as contained and put the debt ratio at around 41 per cent, while acknowledging that stabilising the rupiah remained a shared task.
