Indonesia currency guide: The Indonesian rupiah (IDR)

A nation of islands spanning the Pacific and Indian oceans, Indonesia is a popular tourist destination. Nearly 400,000 Americans visited the country in 2023 alone. And it’s not hard to understand why. From the beaches of Bali to the nightlife of Jakarta, there’s no shortage of things to do.

If you plan to explore the breathtakingly beautiful islands of Indonesia, you’ll need to know how to exchange your money for the country’s native currency, the Indonesian rupiah.

So, whether you’re looking to send money to Indonesia, from abroad or convert your dollars to rupiah while in the country, here’s everything you need to know about Indonesian currency.

Note: Before making travel plans, check the US Department of State website for the latest travel advisory information.

What is the currency in Indonesia?

Indonesia’s money is called the rupiah. It is abbreviated as IDR and symbolized as “Rp.” Bank Indonesia, the country’s central bank, issues and manages the currency.

Rupiah banknotes range from 1,000 to 100,000, with coins ranging between 50 and 1,000. Here’s the full denomination breakdown:

Banknotes

• Rp1,000
• Rp2,000
• Rp5,000
• Rp10,000
• Rp20,000
• Rp50,000
• Rp100,000

Coins

• Rp50
• Rp100
• Rp200
• Rp500
• Rp1,000

For lower denominations, 1 rupiah is divided into 100 sen. Each banknote displays different historical figures, landscapes, or motifs representing the country.

People use specific phrases to denote higher units of rupiah. These include:

• 1,000 = 1 ribu
• 1 million = 1 juta
• 1 billion = 1 miliar
• 1 trillion = 1 triliun

The latest security technology, including blind codes, security threads, and watermarks, are used in rupiah banknotes to prevent counterfeiting.

History of the Indonesian rupiah

The islands of Indonesia were first inhabited by various tribes, many of which had their own gold or silver coins they used as currency. During this time, tribes frequently engaged in bartering trade.

Other key periods that shaped Indonesia’s monetary history include:

Dutch colonization

When the Dutch colonized the islands in the 17th century, the Dutch East India Company introduced its own currency using silver and copper coins.

Japanese occupation

During the Japanese occupation of Indonesia during World War II, the Japanese military yen replaced the Dutch currency in Indonesia.

Post-independence

Indonesia declared its independence in 1945. It introduced its official currency, the Indonesian rupiah, in 1946. “Rupiah” stems from the Sanskrit word for silver (rupyakam).

Other currencies continued to circulate in Indonesia during the rupiah’s early years. These included the Japanese occupation currency and the Dutch guilder. The Indonesian government implemented currency reforms in the 1950s to adjust the rupiah’s price and stabilize the country’s economy. This helped solidify the rupiah as the nation’s primary currency.

The Asian Financial Crisis of 1997 severely impacted the island country. The rapid devaluation of the rupiah during this period required support from international organizations to maintain the currency into the 21st century.

7 tips for exchanging US dollars to rupiah

When planning a trip to Indonesia, you’ll want to consider how you’ll exchange US dollars (USD) for Indonesian currency to pay for expenses on your trip.

Staying up on the latest USD-to-IDR exchange rate is a good place to start—and the first of our seven tips for exchanging USD to rupiah.

1. Research and compare exchange rates

Exchange rates determine how many rupiahs you will receive for your dollars. A better exchange rate means you’ll get more Indonesian money for your buck. But don’t just settle for the first exchange rate you see. Instead, compare the rates of converting currency in Indonesia to find a favorable price.

Check exchange rates at major banks, authorized money changers, and online platforms when looking for the most favorable rate.

No matter what country you’re traveling to, Western Union’s currency converter tool is great for tracking live exchange rates. It’ll give you an idea of what constitutes a competitive exchange rate for several popular currencies.

2. Notify your bank ahead of traveling

To avoid any problems when using money abroad, alert your bank or credit card issuer of your travel plans. Otherwise, your debit or credit card could be frozen due to perceived fraudulent activity, making paying for what you need during your travels difficult.

You may have to call the number on your debit or credit card to file a travel alert, although you can sometimes do this straight from a bank’s online platform or app.

Once your bank knows about your travel plans, they will allow you to exchange funds for Indonesian money or transact with your debit or credit card at merchants in the country.

3. Avoid exchanging money at airports, hotels, and tourist areas

Airports and hotels are convenient money exchange locations, but they’re not cost-effective. Chances are, they’ll give you a poor exchange rate.

Also, beware of exchange services in tourist-heavy areas of Bali, which are prone to scams. They might promise you a great exchange rate while charging you a hidden “tax.” Or they might shortchange you on the Indonesian money you get back.

When converting to rupiah, make sure to use only reputable, licensed money exchangers, such as a Western Union agent location.

4. Consider commissions and fees

As you research where to convert money, don’t overlook the fees you’ll pay when exchanging for Indonesia’s currency. You might be charged transaction fees, commissions, currency conversion fees, or other costs for your conversion.

It’s important to fully understand the fee structure of your exchange before agreeing to your transaction. Ask a money exchanger to itemize your fees so that you can see exactly how much you will pay for your exchange. If they refuse to do so, it could be a sign of fraud or a scam.

For example, Western Union is transparent with its fee structure. Whether you’re exchanging USD for IDR or sending money to family or friends abroad, you’ll know upfront exactly how much it’ll cost you.

5. Opt to be charged in the Indonesian currency when withdrawing money from ATMs

ATMs can be one of the best ways to exchange currency in Indonesia. They offer a fast, accessible way to get Indonesian currency.

Just make sure to select your charges in rupiah, not dollars. This means your bank at home conducts the currency transaction, which often provides a better exchange rate. It also helps avoid dynamic currency conversion (DCC) fees—charges applied when a traveler opts to pay in their home currency rather than the local currency.

6. Exchange money in Indonesia instead of the US

It’s generally better to get rupiahs in Indonesia instead of the US. When you arrive in Indonesia, you’ll have plenty of options to exchange for rupiahs, including airports, hotels, ATMs, and money exchange services.

You’ll have significantly fewer options to exchange for rupiahs in the US. And exchange services that do carry rupiahs will likely offer poor exchange rates.

7. Use reputable exchanges

With so many Indonesian money exchangers in tourist areas like Bali, how do you know if you’re using a reputable service? For one, you can be sure that any bank or authorized exchange bureau is trustworthy, so you may want to try these options first. Just be sure to steer clear of unauthorized money exchange booths and kiosks, as they could pose a security risk.

Western Union is always a great option for exchanging money when traveling in Indonesia (or elsewhere). You can find a Western Union agent to help you get currency in Indonesia. You can also use the reliable Western^® Union app or online platform to get rupiahs digitally.

Using money in Indonesia

Using Indonesian currency isn’t much different from using money in the US. But can you use your US dollars in Indonesia? And what’s the tipping culture like? Here’s what to know before you head to Indonesia.

Can you use US dollars in Indonesia?

While the US dollar is the most commonly used foreign currency in Indonesia, you won’t be able to use it everywhere. And when merchants do accept dollars, you’ll have to do currency conversion on the spot, which could result in poor exchange rates or even fraud. Therefore, it’s typically better to carry rupiahs for daily transactions.

Tipping etiquette in Indonesia

Most restaurants and hotels will add a government-imposed tax to your bill, but this amount doesn’t go to service workers. Some hotels may tack an additional service fee to your bill, which is effectively a built-in gratuity. Tipping above this amount isn’t required, but adding a small gratuity is a nice gesture.

A 10% to 15% tip is appreciated at restaurants and cafes, while a small gratuity for tour guides and spa workers is also appreciated.

Where to get Indonesian rupiahs near me?

Major banks, airports, and hotels all typically have money exchange services. If you’re in Bali or another tourist area, you’ll have no problem finding a currency exchange near you. Just make sure it’s reputable.

With transparent pricing, competitive rates, and cutting-edge security features, Western Union is a go-to exchange service for travelers in Indonesia and beyond. Western Union’s expansive network of agents in Indonesia means you’re never far from the rupiahs you need.