Finance Minister Says Rupiah Will Strengthen Within Two Weeks

JAKARTA, Investortrust.id — Purbaya Yudhi Sadewa says the recent weakening of the rupiah is not a cause for concern and predicts the currency will strengthen within the next two weeks as economic momentum improves and capital inflows resume on Wednesday, Jan 14, 2026 in Jakarta. He said the rupiah trading in the Rp 16,800 to Rp 17,000 range against the US dollar reflected short term dynamics rather than structural weakness.

Purbaya said exchange rate stabilization fell under the authority of Bank Indonesia as the country’s central bank. He stressed that the broader macroeconomic foundation remained solid despite recent volatility.

He said the rupiah would strengthen in line with improving economic growth. “If the economy continues to improve, the rupiah should strengthen as well,” Purbaya said during a press interaction in South Jakarta.

The finance minister said the government was targeting economic growth of 5.45 percent in the fourth quarter of 2025 and close to 6 percent in 2026. He said stronger growth would boost investor confidence and attract foreign capital inflows that would support the currency.

“If they are already confident, there is no need to be afraid, our fundamentals are strong, the rupiah will strengthen because capital will flow into Indonesia,” he said.

Purbaya said he was optimistic the rupiah would recover within two weeks, supported by an improving domestic business climate. He added that Indonesian funds currently parked overseas could also return as investors saw more opportunities at home.

“Within these two weeks it will strengthen. Indonesians who have placed their money overseas will also come back. They will do business here,” Purbaya said.