Jakarta – The government, together with Bank Indonesia (BI), has moved swiftly to maintain the stability of the rupiah exchange rate amid global pressures triggered by the strengthening of the U.S. dollar, volatility in global oil prices, and rising uncertainty caused by geopolitical conflicts in the Middle East. This responsive step aims to ensure that national economic stability remains intact while maintaining market and investor confidence in Indonesia’s economic fundamentals.
Finance Minister Purbaya Yudhi Sadewa emphasized that Indonesia’s current economic condition remains in a strong expansion phase. According to him, the government continues to safeguard public purchasing power while ensuring that the momentum of economic growth is maintained.
“Our economy is expanding. We are doing everything possible to protect purchasing power. Far from a crisis, we have not even entered a recession or slowdown. We are still expanding and accelerating,” Purbaya said.
According to Purbaya, Indonesia has extensive experience in dealing with various global economic crises. Experiences from the 1998 Asian Financial Crisis, the 2008 Global Financial Crisis, and the COVID-19 pandemic in 2020 have become important lessons that help the government prepare mitigation measures to address potential economic turbulence today.
He assessed that Indonesia’s economic foundation remains strong, supported by stable domestic consumption, prudent fiscal management, and close coordination between the government and monetary authorities. The government also ensures that the state budget remains the main instrument for maintaining economic stability.
“Investors in the stock market do not need to worry. Our economic fundamentals are well maintained, and the government has experience in preserving growth momentum amid global pressures,” he said.
In addition, the government has prepared various anticipatory measures to address potential increases in global energy prices triggered by geopolitical conflicts in the Middle East. The state budget will be positioned as a shock absorber to mitigate economic volatility if external pressures intensify.
Close coordination between the government and Bank Indonesia is considered a key factor in maintaining national economic stability amid global uncertainty. With relatively strong economic fundamentals and swift policy responses, Indonesia is seen as having sufficient room to safeguard rupiah stability while sustaining economic growth momentum in the medium term.
