No: 27/310/DKom
Strengthening the credibility and reliability of the national rupiah benchmark rate, Bank Indonesia (BI) officially discontinued publication of the Jakarta Interbank Offered Rate (JIBOR) on 1st January 2026. Replacing JIBOR, financial markets in Indonesia are encouraged to use the Indonesia Overnight Index Average (IndONIA) as the rupiah benchmark rate, which is calculated based on actual interbank lending and borrowing transactions. Based on actual transactions, IndONIA is considered more accurate and objective, while reflecting real liquidity conditions in the market. The transition is an integral element of the benchmark rate reforms, in line with global best practices, to strengthen financial market deepening in Indonesia.
The benchmark rate reform initiative was implemented after meticulous preparations by Bank Indonesia, which included ensuring the readiness of market participants to transition from JIBOR to IndONIA. Bank Indonesia began publishing IndONIA on 1st August 2018 in parallel with JIBOR. Meanwhile, the policy to discontinue JIBOR publication was announced on 27th September 2024[1], accompanied by the JIBOR Transition Guidelines[2], prepared by the National Working Group on Benchmark Reform (NWGBR)[3].
Market players have gradually transitioned towards IndONIA. A survey conducted by the Indonesia Financial Services Authority (OJK) indicated that the value of financial contracts using JIBOR as the reference rate and maturing before 31st December 2025 has fallen by 67.7% from Rp140.37 trillion in September 2024 to Rp45.28 trillion in September 2025. Furthermore, the value of contracts with a fallback rate (negotiated at the new rate when JIBOR was discontinued) maturing after 31st December 2025 has increased by 35.9% from Rp164.48 trillion in September 2024 to Rp223.76 trillion in September 2025. Consistent with increasing market transparency, transaction activity in the interbank money market (PUAB) has also performed well. As of 19th December 2025, the average value of interbank lending transactions in rupiah was recorded at Rp15.4 trillion per day, accounting for 63.5% of total money market transactions.
The use of IndONIA as the reference rate will create modern, credible and globally competitive financial markets in Indonesia in pursuit of sustainable economic growth. Bank Indonesia will continue strengthening communication and coordination with market players and the public to ensure a seamless transition to the benchmark rate. Bank Indonesia publishes IndONIA at the end of each transaction day on its website (www.bi.go.id).
Communication Department
Ramdan Denny Prakoso
Executive Director
[1] Press Release: Bank Indonesia Discontinuing Publication of JIBOR Rate on 1st January 2026
[2] Press Release: National Working Group on Benchmark Reform Issues JIBOR Transition Guidelines
[3] With members including the Ministry of Finance, Bank Indonesia, Financial Services Authority (OJK) as well as Indonesia Money Market and Foreign Exchange Market Association (APUVINDO), the NWGBR functions to provide information to market players concerning the benchmark reform agenda along with recommendations for reference rates in the domestic financial markets.
