The fluctuations of the rupiah exchange rate against the US dollar continue to attract attention from various circles, ranging from market players to the general public. This phenomenon of the domestic currency's depreciation often raises concerns about its impact on the national economy, especially in meeting daily needs. In response to this situation, Dr. Andi Estetiono SE MM, a Banking and Finance lecturer at the Faculty of Vocational Studies, Universitas Airlangga (UNAIR), thoroughly analyzes the dynamics of this exchange rate movement from the perspective of the national banking industry.

Analysis of Major Banking Risks Due to the Surge in the US Dollar
Andi explained that the rupiah's weakening has a direct impact on three main banking risks, namely liquidity risk, market risk, and credit risk. The increase in the US dollar against the rupiah certainly affects banks, not only in terms of prices or inflation.

First, from the liquidity side of banks, especially foreign exchange liquidity. According to Andi, there is a tendency for individuals to secure their assets by converting rupiah deposits in banks into US dollars. Or they might even cash out their dollar deposits to gain short-term profits and convert them into other assets such as gold or other assets considered safe.