Finance Minister Purbaya Yudhi Sadewa has taken steps to support the rupiah, which is under pressure from the US dollar, by planning to issue new debt securities denominated in yuan in the Chinese market, known as Panda Bonds.

“To strengthen the exchange rate, we will also issue bonds in the form of Panda Bonds in China,” Purbaya said during a press conference at the Presidential Palace on Tuesday evening (May 5, 2026).

He explained that this move is intended to diversify the country’s financing sources so that it is not overly reliant on the US dollar. In addition, interest rates in the Chinese market are relatively lower, making the option more favorable.

“This way, our dependence on the dollar can be reduced. Our financing diversification will improve going forward, and our outlook remains positive,” he added.

As previously reported, the rupiah had weakened past the Rp17,400 level against the US dollar during trading on Tuesday (May 5). Bank Indonesia (BI) has prepared several measures to maintain currency stability.

On the same occasion, Bank Indonesia Governor Perry Warjiyo stated that the central bank will continue to intervene in the market through instruments such as Domestic Non-Deliverable Forward (DNDF) and Non-Deliverable Forward (NDF). Additionally, BI is working to encourage capital inflows through Bank Indonesia Rupiah Securities (SRBI).

“We have agreed to strengthen SRBI for now to attract inflows, so that these inflows can offset outflows from government bonds and equities. This coordination with the Finance Minister ensures that foreign portfolio flows remain in a net inflow position year-to-date, which in turn helps support the rupiah,” Perry explained.