Travelers who are used to feeling like “millionaires” upon arriving in Bali may soon have to say goodbye to that familiar sensation. Indonesia is preparing a sweeping financial reform — the redenomination of the rupiah. For those who visit the country regularly, the change will be noticeable but ultimately convenient: the endless rows of zeroes on banknotes will disappear, and everyday payments will become clearer and calmer.
The Indonesian government has long discussed the need to simplify monetary operations. In daily trade, where price tags often run into tens of thousands of rupiah, mistakes are easy to make. The redenomination aims to accomplish several goals at once: make payments more transparent, reduce confusion, and complicate the work of scammers who profit from exchange-rate tricks and sleight-of-hand with thick bundles of cash.
Under the reform, existing banknotes will lose exactly three zeroes. For example, 100,000 rupiah will become 100, and 1,000 rupiah will become 1. The real value of the currency will not change: food, transport, and accommodation will simply be priced with smaller numbers.
The process is expected to be completed by around 2027, and 2026 will likely be the final year of “million-rupiah” transactions for tourists.
The currency-exchange trick involving the substitution of a few banknotes has existed on Bali for years. A tourist is shown the correct amount and the cashier counts it out loud. But the moment the visitor is distracted — usually to sign a receipt — the cashier quickly “removes” several notes. Many travelers notice the shortage only after leaving the exchange booth, when proving anything becomes nearly impossible.
“The main rule that protects you in such situations is simple: count your money the moment it is handed to you.”
The overall cost of living remains moderate. Visitors can tailor their budget to any travel style — from modest guesthouses to oceanfront villas.
Approximate prices:
After the redenomination, these same prices will simply be expressed with smaller numbers — making it easier to navigate and reducing the chance of errors during payment.
| Current Denomination | New Denomination | What Changes |
|---|---|---|
| 1,000 rupiah | 1 rupiah | Smaller price notation |
| 10,000 rupiah | 10 rupiah | Real value remains unchanged |
| 50,000 rupiah | 50 rupiah | Faster transactions |
| 100,000 rupiah | 100 rupiah | Lower risk for tourists during exchanges |
Mistake: Trusting the cashier without checking the notes.
Consequence: Shortages of up to one-third of the amount.
Alternative: Count the cash at the counter.
Mistake: Exchanging money in small street booths.
Consequence: Higher risk of counterfeits and manipulation.
Alternative: Use ATMs or large, reputable exchange offices.
Mistake: Paying with large banknotes when exact change is needed.
Consequence: Wrong change or note substitution.
Alternative: Carry smaller denominations or pay via an app.
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