People can now become “millionaires” in Indonesia with just $57, after the Indonesian Rupiah’s (IDR) sharp depreciation against the US dollar a short while ago.
Based on current exchange rates, 1 US dollar equals roughly 17,000–17,300 Indonesian Rupiah, depending on market movement. This means $57 converts to around 1 million rupiah.
Indonesia’s rupiah has faced big pressure in recent months due to global factors, including the toxic market weight of the US dollar, high interest rates, capital outflows from emerging markets, and of course, the Gulf War.
Recent reports also show the Indonesian currency hit record lows around 17,000+ per USD before halting all movement after Bank Indonesia intervened by releasing more IDRs via high-priority open market operations.
While the IDR’s weakness improves export competitiveness in some sectors, it also increases import costs and inflationary pressure for locals.
Despite the above-mentioned context, it’s a typical case of currency depreciation rather than a real increase in purchasing power or wealth.
A million rupiah equals $57 and represents a very small value in basic economic terms.
Anyone who wrote this crappy article should be ashamed