Polyester staple fiber (PSF) manufacturer PT Tifico Fiber Indonesia (TFCO) Tbk, which suffered net loss of US$1.7 million in the first quarter of 2026, has decided to expand into commercial property sector.

We haven’t seen the bottom. Composite index of IDX (IHSG/JCI) ended further down by 4.52% to 5,342 Monday (Jun 8) as foreign investors continued ‘sell Indonesia’. Rupiah also weakened further, where some banks offered US dollar bank notes above Rp18,200.

Bank Indonesia announced the country’s foreign exchange reserves at US$144.9 billion by end of May 2026, down from US$146.2 billion in the previous month. While enough for 5.5 months of import, remains above international standard (3 months), forex reserves evaporated US$11.6 billion year-to-date.

Infrastructure development was main theme of Jokowi administration. Jokowi tacitly supported Prabowo Subianto’s campaign in 2024 with a hope of continuation in modernizing the country’s public infrastructure. We all know, however, Prabowo administration uses most of resources to support new signature programs like free meal, the village cooperatives, military equipment procurements, People’s school and other populist policies.

Some banks offered USD bank notes above Rp18,200 this morning, moving closer to the new psychological level (Rp19,000), despite statements from the government, Bank Indonesia, and the House of Representatives (DPR) about ‘sound economic fundamentals’. 

Rupiah has crossed a psychological threshold that few policymakers wanted to see. Public discussion has largely focused on currency markets, foreign investors, and monetary policy. Yet the more important question may be what a weak rupiah means for technological future.

Directorate general of tax at ministry of finance is currently investigating 32 palm oil companies suspected of their involvement in under-invoicing and transfer pricing practices. Interestingly, some palm oil companies have since last year reduced significantly their sales to offshore affiliated trading companies.