Indonesian Rupiah or Rupiah alone is the official currency of Indonesia. This currency is printed and regulated its use by Bank Indonesia with the ISO 4217 IDR code. Informally, Indonesians also refer to this currency as "silver". One rupiah is divided into 100 cents, although inflation has made it no longer used except only in the records of the bank's books.
Origin of the name "Rupiah"
The name Rupiah is derived from the Indian word: rupiya (रुपीया) which is also rooted in Sanskrit namely: rupyakam (रूप्यकम्) which means "silver". The name "Rupiah" was made the name of the Indonesian currency due to the strong influence of Indian culture during the glory of Hindu-Buddhist kingdoms in the archipelago for hundreds of years that had been assimilated into culture and language in Indonesia. The name Rupee (pronounced "rupi") is also used for the currencies of countries such as India, Pakistan, Nepal, Seychelles, Mauritius and Sri Lanka while in the Maldives known as "Rufiyah", similar to in Indonesia "Rupiyah", only distinguished by " f ". Many countries use this word (rupya) for their national currency because it is the result of the influence of the spread of Sanskrit that has existed since the 6th Century BC to various countries of the Indian Ocean region.
Early period of Indonesian independence
In the early days of independence, Indonesia did not use the rupiah but used the official currency known as ORI. ORI has a circulation period of 4 years in Indonesia, ORI has been used since 1945-1949. However, the legitimate use of ORI only began since the inauguration of this currency by the government as the Indonesian currency on October 30, 1946. In the early days, ORI was printed by Canisius Printing with a very simple shape and design and using fine fiber protection. It can even be said that ORI at that time was a very simple, modest currency and tended to be of poor quality, especially when compared to other currencies in circulation in Indonesia. In the early days of independence, ORI was widely circulated among the people even though this money was only printed in Yogyakarta. ORI has been printed at least five times in a period of four years, among others, printing I on October 17, 1945, series II on January 1, 1947, series III was issued on July 26, 1947. At that time, ORI was a currency that has a very high value low compared to the money spent by de Javasche Bank. Even though ORI's money is rare money that should be of high value.
On April 8, 1947, the governor of the province of Sumatra issued a rupiah of the Republic of Indonesia of the Republic of Sumatra (URIPS). Since November 2, 1949, four years after independence, Indonesia established the rupiah as the new national currency. The Riau Islands and West Irian have their own variations of rupiah, but their use was abolished in 1964 in Riau and 1974 in West Irian. The Asian economic crisis in 1998 caused the value of the rupiah to fall by 35% and brought the downfall of the Suharto government. Rupiah is a currency that can be exchanged freely but traded with a penalty due to high inflation.
The unit is under rupiah
Rupiah has units underneath. In the early days of independence, the rupiah was equated in value with the Dutch East Indies Gulden, so smaller units were also used during the colonial period. The following are the units that have been used, but are no longer used because a decrease in the value of the rupiah causes the unit to be of no importance.
| Designation | Worth | Explanation |
|---|---|---|
| Sen (¢) | Rp0,01 | there are 1 and 5 ¢ coins |
| Cepeng, Hepeng | 0,25¢ | from feng, used in Chinese circles |
| Peser | 0,50¢ | |
| Pincang | 1,50¢ | |
| Gobang, Benggol | 2,50¢ | |
| Ketip, Kelip, Stuiver (bahasa Belanda) | Rp0,05 | there are coin shards |
| Picis | Rp0,10 | there are coin shards |
| Tali | Rp0,25 | there are 25 and 50 ¢ coins |
| Uang | 8,33¢ | ⅓ tali |
Emission money in 2014
The original plan of Bank Indonesia to redeem the rupiah was hampered by the unstable global economic conditions and the discussion of the Redenomination Law which was halted due to the 2014 Election agenda. ).
In accordance with the mandate of Law Number 7 of 2011 concerning Currency, the Rupiah is placed as one of the symbols of state sovereignty that must be respected and proud of all Indonesian citizens. As such, Bank Indonesia is no longer the sole institution authorized to print Rupiah currency. Later on, Bank Indonesia must always coordinate with the government, namely the finance ministry in terms of plans to print money, issue money, and withdrawal and annihilation of old money.
After no longer being the sole institution for printing Rupiah, the phrase Bank Indonesia contained in every Rupiah denomination will now be replaced by the Unitary State of the Republic of Indonesia. In addition, another change to the NKRI money will be the signature of the Minister of Finance and the Governor of Bank Indonesia and a new anti-counterfeiting security system on paper money.
Emission money in 2016
On December 19, 2016, Bank Indonesia (BI) officially launched 11 new rupiah designs consisting of 7 banknotes and 4 coins. Rupiahs of paper issued consisted of nominal Rp.100,000, Rp.50,000, Rp20,000, Rp10,000, Rp5,000, Rp2,000 and Rp1,000. While metal rupiah consists of Rp 1,000, Rp 500, Rp 200, and Rp 100 denominations.
The design of this new money is in line with BI's plan to issue money from the Unitary Republic of Indonesia (NKRI). Almost all the faces of the heroes in cash have changed, except for the Rp 100,000 denomination.
The Rp 100,000 denomination still features the faces of two RI proclaimers, namely the Republic of Indonesia's first President and Vice President, Sukarno and Mohammad Hatta.
Coinciding with the Indonesian State Defending Day, BI issued 11 new rupiah designs consisting of 7 paper rupiah denominations and 4 metal rupiah denominations. After the issuance of new rupiahs, the rupiah money that has been circulating in the community is still valid and can still be used as a legal transaction tool until BI withdraws the old rupiah circulation.
The use of the hero image on the new rupiah has also been previously approved by President Joko Widodo (Jokowi).