Bank Indonesia Explores Digital Rupiah Through Project Garuda

Ensuring Rupiah Dominance in Digital Payments

Bank Indonesia (BI) is currently undertaking an experimental project to issue a digital rupiah, codenamed Project Garuda. The initiative was revealed by BI Governor Perry Warjiyo during the 2025 Bank Indonesia Annual Meeting (PTBI) held in Jakarta. The primary objective of this project is to maintain the rupiah's position as the sole legal tender in Indonesia's increasingly digital financial landscape.

Maintaining Monetary Sovereignty

The development of a digital rupiah is seen as crucial for ensuring that the rupiah remains the only legitimate digital payment instrument in Indonesia. This move aligns with BI's efforts to maintain monetary sovereignty and control over the country's financial system in the face of growing digital payment solutions.

Project Garuda: Technical and Regulatory Considerations

While specific technical details about Project Garuda remain limited, the initiative likely involves extensive research and development in digital currency technology. BI will need to address various regulatory and implementation challenges to ensure the successful integration of a digital rupiah into Indonesia's financial infrastructure.

Implications for Indonesia's Financial Landscape

The introduction of a digital rupiah could have significant implications for Indonesia's financial sector, potentially transforming how transactions are conducted and monitored. It may also impact the competitive landscape for existing digital payment providers and could lead to new opportunities for financial innovation.