India 1 Rupee In Indonesia

5 min read Jun 26, 2024
India 1 Rupee In Indonesia

India's 1 Rupee in Indonesia: A Surprising Discovery


In 2018, a peculiar discovery was made in Indonesia that left many people intrigued. It was reported that the Indian 1 rupee coin was being used as a form of currency in some parts of Indonesia, particularly in rural areas. This phenomenon has raised several questions, including how and why this foreign currency has become a medium of exchange in Indonesia.

The Discovery

The use of Indian 1 rupee coins in Indonesia was first reported in the East Nusa Tenggara province, specifically in the Belu regency. The coins were being used by local vendors and traders to buy and sell goods, and even as a form of payment for services. Initially, it was thought to be an isolated incident, but further investigation revealed that the practice was widespread in other parts of the province.

How Did It Happen?

So, how did the Indian 1 rupee coin become a currency in Indonesia? There are several theories, but no one knows for certain. One theory is that the coins were brought to Indonesia by Indian migrant workers who came to work in the country's plantations and mines. Another theory suggests that the coins were introduced by travelers and tourists who visited Indonesia and left them behind as souvenirs.

The Impact

The use of Indian 1 rupee coins in Indonesia has had both positive and negative impacts on the local economy. On the one hand, it has provided a convenient and accessible form of currency for people in rural areas who may not have had access to traditional banking services. On the other hand, it has created confusion and difficulties for businesses and financial institutions that are not familiar with the foreign currency.

The Response

The Indonesian government has taken steps to address the issue, including launching a campaign to educate the public about the use of official currency and the risks associated with using foreign currencies. The country's central bank, Bank Indonesia, has also issued a statement warning against the use of foreign currencies and encouraging people to use the official currency, the Indonesian rupiah.


The use of Indian 1 rupee coins in Indonesia is a fascinating phenomenon that highlights the complexities of currency and trade. While it may seem unusual, it is a reminder that currency is a social construct that can take many forms and can be influenced by a variety of factors. As the world becomes increasingly globalized, it is likely that we will see more instances of unconventional currencies being used in different parts of the world.


  • Is the Indian 1 rupee coin a legal tender in Indonesia?
    • No, the Indian 1 rupee coin is not a legal tender in Indonesia. The official currency of Indonesia is the Indonesian rupiah.
  • Why do people in Indonesia use the Indian 1 rupee coin?
    • The reasons are not entirely clear, but it is believed that the coins were introduced by Indian migrant workers, travelers, or tourists.
  • What are the risks of using foreign currencies?
    • Using foreign currencies can create confusion, difficulties, and risks for businesses and financial institutions. It can also lead to financial losses if the value of the foreign currency fluctuates.

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