Compared to other emerging economies’ currencies, the IDR has not weakened as much against the USD.

On the bright side, a weakening local currency tends to improve profitability of Exporters.

So, which exporting Companies might be the beneficiaries?

Take WOOD for instance. Foreign exchange gain alone pushed up its profits by IDR 34 billion in its latest report.

Shipping Rates

Another reason for Exporters to cherish is lower shipping rates.

For the last few months, the Container Shipping Rates have dropped significantly across various routes. If this trend continues, the rates should be back to pre-pandemic level by next year.

Disclaimer: NOT FINANCIAL / INVESTMENT ADVICE. This article is of writer’s personal opinion. Any information contained here is for education and informational purpose only. Readers should seek other sources or professional advice for further clarification where deemed necessary.