The Indonesian rupiah hovered near IDR 17,850 per U.S. dollar on the last trading day of September, rising for a second session after Bank Indonesia stressed consistent, sustainable intervention and said the currency’s trajectory remained aligned with regional peers. The central bank has reduced spot-market interventions to 30% while placing greater emphasis on NDFs (non-deliverable forward contracts). Parliament’s passage of the 2027 Budget Bill also improved fiscal clarity. Gains remained limited as the dollar index held firm amid persistent U.S. inflation and hawkish signals from the Federal Reserve. The rupiah is on track for a monthly decline of about 0.6%, pressured by domestic inflation after annual CPI (consumer price index) accelerated to 3.19% in August because of higher food costs linked to El Niño. Elevated crude prices continued to pose fiscal challenges for Indonesia, which relies on imported energy. Despite those pressures, the rupiah is on track to strengthen about 0.6% for the quarter, recovering part of its 5.7% decline in the previous period.