# Indonesia c.bank unexpectedly raises rates amid falling rupiah | Reuters

> Bank Indonesia unexpectedly raised its benchmark 7-day reverse repo rate on October 19 to arrest the rupiah's decline. The central bank cited U.S. monetary tightening and rising geopolitical risks, and the rupiah had hit its lowest level since 2020. Economists saw further hikes possible if currency weakness persists.

- Date: 2023-10-19 · published 2023-10-19T12:00:00.000Z
- Category: macro · region Indonesia · magnitude low
- Page: https://feedsoft.ai/events/33952-indonesia-c-bank-unexpectedly-raises-rates-amid-falling-rupiah-reuters
- Commodities: [Indonesian Rupiah (IDR per USD)](https://feedsoft.ai/c/USDIDR.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md)

## Why it matters

Rupiah weakness raises the cost of imported feed inputs for Indonesia and tightens financing conditions for its livestock and poultry sectors, which can reduce feed demand. Currency pressure on a major importer of soybean meal and corn is mildly bearish for those commodities in dollar terms.

## Read by commodity

- SBM: neutral
- USDIDR: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBM | 2026-02-19 | [Bank Indonesia holds rates steady, focus remains on 'undervalued' rupiah \| Reuters](https://feedsoft.ai/events/20906-bank-indonesia-holds-rates-steady-focus-remains-on-undervalued-rupiah-reuters.md) | +5.7% | +6.9% |
| SBM | 2017-10-31 | [Bank Indonesia Ungkap Penurunan Nilai Tukar Rupiah Pekan Lalu](https://feedsoft.ai/events/68757-bank-indonesia-ungkap-penurunan-nilai-tukar-rupiah-pekan-lalu.md) | +1.2% | +3.6% |
| SBM | 2016-11-11 | [Indonesian rupiah falls most since 2011 over Trump's protectionist trade policy fears](https://feedsoft.ai/events/74150-indonesian-rupiah-falls-most-since-2011-over-trump-s-protectionist-trade-policy.md) | -0.3% | +1.1% |
| SBM | 2022-10-17 | [Indonesia's defences start crumbling against relentless dollar](https://feedsoft.ai/events/39431-indonesia-s-defences-start-crumbling-against-relentless-dollar.md) | +0.3% | -1.9% |
| SBM | 2025-08-25 | [Argentina's financial markets tumble amid government corruption allegations \| Reuters](https://feedsoft.ai/events/23599-argentina-s-financial-markets-tumble-amid-government-corruption-allegations.md) | -3.5% | -4.4% |

## Sources

- reuters.com: https://www.reuters.com/markets/asia/indonesia-cbank-unexpectedly-raises-rates-amid-falling-rupiah-2023-10-19/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.