Finance Minister Purbaya Yudhi Sadewa shared his projection regarding when the Indonesian rupiah is expected to recover against the US dollar. He estimates that the rupiah will gradually strengthen during the second half of 2026, beginning around July 2026.

 

“The rupiah is expected to gradually appreciate in the second semester of 2026,” Purbaya stated during a meeting with Commission XI of the House of Representatives at the Parliamentary Complex in Senayan, Jakarta, on Wednesday (June 10).

 

Purbaya explained that this forecast is based on several economic considerations. He noted that as of early June 2026, the rupiah was still facing pressure from a combination of global and domestic factors.

 

“We observe that up to early June 2026, the rupiah has continued to face pressure, mainly driven by global sentiment, risk-off conditions in financial markets, as well as pressures stemming from the current account and domestic financial transactions,” he said.

 

However, he expressed confidence that these pressures could gradually ease through stronger coordination between fiscal policy, monetary policy, and the financial sector.

 

According to Purbaya, improvements in the management of export proceeds foreign exchange (DHE) and deeper domestic financial markets will help increase the supply of foreign currency within the country while also strengthening investor confidence.

 

In addition, he believes that the global economic outlook for 2027 will be more favorable than this year as several geopolitical conflicts are expected to subside.

 

“In 2027, geopolitical tensions, particularly those involving Iran, the United States, and Israel, are expected to ease further, while global economic growth is projected to improve,” he stated.

 

Taking these factors into account, the government estimates that the rupiah exchange rate in 2027 will remain within the range of Rp16,800 to Rp17,500 per US dollar.

 

“The government projects that the rupiah will remain stable in 2027 within the range of Rp16,800 to Rp17,500 per US dollar,” Purbaya said.

 

The rupiah closed at Rp17,944 per US dollar during Wednesday afternoon’s trading session (June 10). The Indonesian currency strengthened by 114 points, or 0.63 percent, compared with its previous closing level.