Prabowo Sets Target for the Rupiah at the Level of Rp16,800-Rp17,500 per US Dollar in 2027

JAKARTA - President Prabowo Subianto explained a number of macroeconomic assumptions in his speech delivering the Macro Economic Framework and Fiscal Policy Elements (KEM-PPKF) for the 2027 Fiscal Year at the Plenary Session, Wednesday, May 20, 2026.

The document will later become the basis for the preparation of the 2027 State Budget, and in its exposure, the government targets the rupiah exchange rate to be in the range of Rp16,800 to Rp17,500 per US dollar (USD) in 2027.

Prabowo emphasized that the synergy of fiscal and monetary policies must be able to maintain the stability of the rupiah exchange rate against global currencies.

"Our exchange rate is maintained at Rp. 16,800 - Rp. 17,500 per US dollar. Fiscal and monetary strategies must be strategies that are able to keep our exchange rate stable against the world currency," he said.

In addition, the government also set a number of other macroeconomic assumptions, such as inflation at the level of 1.5 percent-3.5 percent, and the 10-year SBN interest rate in the range of 6.5 percent-7.3 percent.

In the energy sector, the Indonesian crude oil price (ICP) is projected to be at the level of 70 US dollars to 95 US dollars per barrel.

Meanwhile, the lifting of petroleum is targeted to reach 602 thousand to 615 thousand barrels per day, and the lifting of gas is pegged at around 934 thousand to 977 thousand barrels of oil equivalent per day.

He expressed optimism that through the right economic strategy and prudent and sustainable fiscal policies, the national economic growth could reach 5.8 percent - 6.5 percent in 2027, as a step towards the economic growth target of 8 percent in 2029.

He also emphasized that this growth must have a direct impact on the improvement of people's welfare in a tangible way.