Bank Indonesia Unexpectedly Raised BI Rate to 5.50% to Defend Rupiah

Bank Indonesia Unexpectedly Raised BI Rate to 5.50% to Defend Rupiah

BI unexpectedly raised its benchmark interest rate by 25 bps to 5.50% during an off-schedule policy meeting on 09 Jun-26, while also increasing the Deposit Facility rate to 4.50% and the Lending Facility rate to 6.25%. The move was aimed at strengthening rupiah stability amid heightened global volatility, capital outflows, and geopolitical tensions in the Middle East. BI also introduced measures to enhance the attractiveness of domestic financial assets and encourage foreign capital inflows. Separately, Governor Perry Warjiyo projected the rupiah to range between IDR 16,800–17,500/USD in 2027 and forecast Indonesia’s economic growth at 5.1%–5.9%. Meanwhile, sentiment improved after Iran and Israel agreed to halt attacks, helping ease geopolitical concerns and support broader risk appetite. (Trading Economics)

Indonesia to Provide 3 Months of Rice Aid, Subsidize Imported Soybeans

Indonesia will distribute 10 kg of rice per month to 33.24 mn beneficiaries from Jul-26 to Sep-26, utilizing around 1 mn tons of rice reserves. The govt. will also provide a subsidy of IDR2,000/kg for 250,000 tons of imported soybeans to lower production costs for tempeh and tofu producers amid dry season risks and global market volatility. (Bloomberg)

Pertamina Raised Pertamax Price to IDR 16,250/L

Pertamina officially increased the price of Pertamax (RON 92) to IDR 16,250/liter in the Jakarta area effective 10 Jun-26, representing an increase of IDR 3,950/liter from the previous price of IDR 12,300/liter. Pertamax Green (RON 95) was also raised to IDR 17,000/liter from IDR 12,900/liter, while Pertamax Turbo remained unchanged at IDR 20,750/liter. Meanwhile, non-subsidized diesel products, including Dexlite and Pertamina Dex, as well as subsidized fuels Pertalite and Solar, saw no price adjustments. The increase marks the first Pertamax price hike since global oil prices surged following the Israel-Iran conflict. (CNBC Indonesia)

Fortune Indonesia (FORU) Plans Major Rights Issue and Business Transformation

FORU plans to undertake a major corporate transformation through a rights issue of up to 219.48 bn shares at an exercise price of IDR 126/sh, potentially raising IDR 27.65 tn. The key transaction involves controlling shareholder IMR Asia Holding Pte Ltd (IMR AH) subscribing to 168.58 bn new shares through a non-cash contribution (inbreng) of its 49% stake in PT Borneo Prima (BP), rather than cash. As a result, FORU will acquire a significant ownership stake in BP and change its business direction through a proposed amendment to its business activities. The transaction is classified as both a Material Transaction and an Affiliated Party Transaction, requiring shareholder approval at the EGMS on 16 Jul-26. (Company)