What happened. In 2010 one US dollar averaged Rp9,090. In 2025 it averaged Rp16,478, which is 81% more rupiah for the same dollar.1 As it stands in October 2026, the number has deteriorated further. The path was not always linear though; the rupiah strengthened in 2011, then fell sharply between 2013 and 2015, however it has weaken in most years since.
Why it matters. Many expenses in Indonesia are priced in dollars even when the family earns in rupiah: overseas tuition, hajj and umrah packages, foreign travels, and imported goods. For example, university fees of US$20,000 a year was only Rp267.8 million in 2015, with exchange rates at about Rp13,389. In 2025, with the rates of Rp16,478 the tuition fees now becomes a whopping Rp329.6 million. This reflects a Rp61.8 million increase, before any rise in the fee itself. .
What it means for ordinary Indonesians?
– Households: a goal priced in dollars needs a plan that allows for rupiah moves in either direction, not only the recent drift.
– Business owners: dollar costs with rupiah revenue carry the same gap; the size of it is worth measuring.
– Worth watching: Bank Indonesia’s next policy meeting and the monthly JISDOR reference rate.
This article is for general information and education only. It is not investment, tax, legal or Shariah Finance advice and does not consider specific individual circumstances. Please consult a qualified adviser (CFP holder) before making financial decisions.
- World Bank, World Development Indicators, “Official exchange rate (LCU per US$, period average)”, Indonesia (PA.NUS.FCRF), dataset last updated 13 Jul 2026, retrieved 3 Oct 2026. https://api.worldbank.org/v2/country/IDN/indicator/PA.NUS.FCRF ↩
Editor’s note: This article was drafted with AI research assistance, before I began writing every article myself. Sources are cited above.
