Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Rupiah Passes a Psychological Barrier
Bali Hotels, Bali Villas and Bali News from
Bali Hotels
Bali Villas
Special Deals!
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Bali Update
Subscribe to our free weekly newsletter!
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
Bali Contact
Bali Discovery Tours
Komplek Pertokoan
Sanur Raya No. 27
Jl. By Pass Ngurah Rai,
Sanur, Bali, Indonesia

++62 361 286 283

++62 361 286 284

U.S.A. Fax:(toll free)

U.K. Fax:

Australian Fax:

++62 812 3819724

Bali Discovery

Bali News

Rupiah Passes a Psychological Barrier

Value of Indonesian Rupiah Plummets to More than Rp. 10,000 to the US$ as Oil Prices Soar.

Bali News:
Click Image to Enlarge


The exchange rate for the Indonesian Rupiah to the U.S. Greenback passed the critical psychological barrier of Rp. 10,000 on August 24, 2005 Ė trading at Rp. 10,330 to the dollar, marking the most dramatic decline in the Rupiah's value in three year.

Diminishing faith in the Rupiah was fueled by record prices being paid for crude oil of US$68 a barrel and growing concern that the fundamental assumptions underlying Indonesia's State budget were becoming increasingly unrealistic.

Meanwhile, President Susilo Bambang Yudhoyono is promising closer coordination with Bank Indonesia who have raised interest rates in order to head off a free-fall in the value of the Rupiah.

The President is under growing pressure to reduce or completely remove burdensome government subsidies on retail fuel prices to restore faith in the National currency. Based on fuel prices of US$66 per barrel, experts predict that Indonesia will incur US$10.6 billion in fuel subsidies for the current year unless currents subsideis are addressed.

The last fuel increase by the government took place on March 1, 2005.

Tourist Experiencing a Windfall

Meanwhile, tourist visitors to Bali are enjoying an added bonus in their spending power as local shopping, dining and transportation costs Ė generally all priced in Rupiahs Ė have became a bargain against the declining value of the Rupiah. The same cannot be said, however, for hotels and villa prices which are overwhelmingly based in U.S. dollars, making them immune from the recent shift in the Rupiah's value for tourists spending foreign currencies.

© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to


Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!

Our [Privacy Statement] explains how we handle the data you are providing.

Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!

or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
Infrastructure First: Seaports and Airport
Transportation Minister Says Baliís Airports, Seaports, and Passenger Terminals Must be Enhanced to Support Growing Passenger Numbers
Another Renovation for Baliís Airport?
Minister of Transportation Wants Carrying Capacity of Baliís Airport Increased to 35 Million Passengers per Year
Move Underway to Trump Chinese Tourists?
DPR-RI Vice Chairman Seeks Repeal of Wide-Ranging Visa Free Status for Indonesian Visitors
Departure, No Return
Garuda Accused of Incorrect Procedures in Death of Passenger Flying from Jakarta to Melbourne
Infrastructure First!
New Hotel Projects Set for Nusa Penida in Dire Need of Water and Electricity Support
Bali Welcomes 3 Millionth Visitor
Bali by the Numbers: BPS Says 43.3% More Foreign Visitors to Bali in August 2016, Passing the Year-to-Date Mark of 3 Million
In Need of a Designated Driver
European Couple Die in Motorcycle Mishap After a Night of Partying on Pererenan Beach in Bali
Bad Smells from the Kitchens?
Drainage Ditch at Bali Airport Filled with Foul-Smelling Pollutants Suspected to Come for Airline Catering Building
Cherishing the Children
St. Regis Resort Bali and Laguna Resort & Spa Raises More than $20,000 for UNICEF at Lavish Beachside Moonlight Dinner
Itís a Bali Holiday
Official National Holidays and Shared Holidays in Indonesia for 2017
Me and My Guitar
West Bali Police Send Home 18 Punkers on a Personal Sojourn in Bali
Passport to a Clean Bureaucracy
Indonesian Immigration Service Joins the Anti-Corruption Campaign
All [News]!