Bank Indonesia holds the BI-Rate at 5.75% — the first decision announced by Governor Destry Damayanti, taken to steady the rupiah

Banking & FXIssued: September 23, 2026

At its Board of Governors meeting on 22–23 September, Bank Indonesia left the BI-Rate at 5.75%, with the deposit facility at 4.75% and the lending facility at 6.50%. It is the third consecutive hold since the rate reached 5.75% on 18 June, at the end of 100 basis points of increases in May and June, and it is the first decision announced by Destry Damayanti since she took office as governor on 2 September. She framed it as consistent with a strategy of rupiah stability "amid strong external pressures": the rupiah has weakened for several sessions, trading around Rp17,850 per US dollar on Wednesday morning, after the US Federal Reserve raised its own policy rate by 25 basis points on 16 September. August inflation was 3.19% year on year, inside Bank Indonesia's 2.5%±1% target. Nothing in this decision changes a filing obligation — what it touches is your rupiah revaluation at month-end and the benchmark your borrowing prices off.

Key points

The decision, announced on Wednesday 23 September at around 14:00 WIB: BI-Rate 5.75%, deposit facility 4.75%, lending facility 6.50% — all unchanged.
Where the rate came from: Bank Indonesia's own rate table shows 5.25% from 20 May 2026, 5.50% from 9 June and 5.75% from 18 June, then holds on 22 July and 19 August. September is the third consecutive hold.
Governor Destry Damayanti, announcing her first decision since taking office on 2 September (see our separate article on her appointment), said the hold "remains consistent with the strategy of rupiah stability amid strong external pressures," with the policy mix aimed at exchange-rate stability, growth and keeping inflation in target.
External backdrop: the US Federal Reserve raised its policy rate by 25 basis points on 16 September, narrowing the gap that supports the rupiah. The rupiah closed weaker for seven sessions in a row to Rp17,758 on 18 September and was quoted around Rp17,850 on the morning of 23 September.
Inflation: 3.19% year on year in August (BPS), up from 2.88% in July, driven by food prices and gold — inside Bank Indonesia's 2.5%±1% target range.
Expectations going in: 12 of 14 economists polled by Bisnis expected a hold; two expected a 25 bp increase to 6.00%. Economists quoted before the meeting said a further increase remains an option late this year or in early 2027 if external pressure worsens — that is their view, not a forecast from us or from Bank Indonesia.
What we could not yet see at publication: Bank Indonesia's full RDG statement and press release had not appeared on bi.go.id when this article went out, and the initial reports did not mention new macroprudential or liquidity measures. We will update this entry if the published statement adds anything material.
Next scheduled decision: the October Board of Governors meeting on 20–21 October 2026, per Bank Indonesia's published 2026 calendar.

What this means for your Indonesian entity

This is macro, not compliance: no filing, rate or reporting obligation changes because the policy rate stayed where it was. Two places it does show up in your books. First, the September close — the rupiah is weaker than it was at the start of the month, so any US dollar intercompany loan, payable or receivable will revalue at a worse rate; flag that to whoever signs off the close rather than letting it surface in the variance review. Second, borrowing cost: with the benchmark unchanged, rupiah facilities priced off it should not reprice because of this decision, so if a lender proposes a change, ask what it is actually based on. If your group treasury is weighing the timing of a rupiah drawdown or a conversion, that is a decision for them and their bank — we do not forecast the rupiah or advise on hedging, and nothing here should be read that way. The next scheduled decision is 20–21 October.

Sources

This page summarises publicly available information for orientation. It is not tax, legal, or accounting advice, and regulations change. Verify against the linked primary sources and contact us before acting on anything here.

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