Unofficial travelling to Indonesia Guide - Money
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| The currency used in Indonesia is Rupiah (Rp) which have undergone great deflation in the Asian Financial Crisis on 1997 from Rp 2500/USD to Rp 10 000/USD in 1 year time. It has now stabilised to Rp 9 000/USD for more than 10 years due to prohibited trading of the Rupiah against the dollar in the foreign exchange market. After the Asian Financial Crisis prices of basic goods and services such as accomodations, food and transport have gone up multiple folds over the years to catch up with international prices. However the salary level is still not catching up with the inflation. Even though every country has its own salary level, workers in Indonesia are oppressed by the sudden devaluation of the Rupiah and most bosses are not interested to pay Indonesian workers the equivalent salary of what they got before the Rupiah devaluation. The divide between the rich and the poor in Indonesia just got wider and wider with time. Indonesian notes include Rp 1, 000 (blue), Rp 5, 000 (brown), Rp 10, 000 (purple), Rp 20, 000 (green), Rp 50, 000 (blue) and Rp 100, 000 (red). The subprime mortgage crisis that was sparked by Lehman Brothers bankruptcy in September 2008 also hit the Indonesian stock market hard with the IHSG (Indonesian stock index) falling by more than 25% in a few days. The government response is to close trading indefinitely but are forced to open it again after 3 days amidst huge demands to sell stocks. The Rupiah also weakens against the dollar to about Rp 9700/USD and is likely to fall further as more people are holding on to dollars in this indefinite period of crisis. It is quite logical as people who sell stocks usually prefer to hold their cash in dollars and many fear of the sudden plunge in Rupiah of 1997 and are holding on to the more stable dollars. Fortunately the stock market plunge has not spread to other markets and trades are not significantly affected in Indonesia. |
| Images of indonesian currency (For knowing and viewing purpose only) |
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 Rp 1, 000 |
 Rp 5, 000 |
 Rp 10, 000 |
 Rp 20, 000 |
 Rp 50, 000 |
 Rp 100, 000 |