Understanding the tuition fees conversion from USD to IDR  

On 1 July 2015, Bank Indonesia’s BI Regulation No. 17/3/PBI/2015 regarding theMandatory Use of                             

the Rupiah in Indonesia came into effect. This regulation requires that all fees and prices in                               

Indonesia are quoted in IDR and all payments within Indonesia are made in IDR. 

 

We have carefully considered possible ways to implement this regulation in the context of a                             

School that has a majority of international students and teachers, for many of whom IDR is not the                                   

currency of reference. It was also important to consider that about half the School’s costs are IDR                                 

based, with the other half USD based. This is mainly driven by how our international teacher                               

compensations are structured for them to be globally competitive. 

 

The tuition policy is always based on the goal of providing outstanding education at good value to                                 

both our island‐based and international community, while ensuring financial sustainability for the                       

School. It is also the School’s intention to give certainty to families regarding fees, manage the                               

School’s exchange rate risk and to comply with all applicable Indonesian regulations. The tuition                           

calculation policy the School has adapted is hence the following: 

 

Tuition is fixed in IDR once a year in February for the following academic year. 50% of the tuition                                     

is based on the current year’s IDR tuition fee, with an adjustment for Indonesian inflation. The                               

other 50% is based on the USD tuition base from the previous year, which is converted to IDR once                                     

a year, using the School’s budget exchange rate. For the 2016/17 academic year, the applied                             

exchange rate is 14,000 IDR to 1 USD. The resulting tuition in IDR is then adjusted for any tuition                                     

increases/changes. We are proud that tuition has not increased for the 2016/17 academic year,                           

for the 3rd year in a row. 

 

Please note that school fees are subject to change based on the decision of the Board of Directors. 

For any questions, please contact our finance department at accounting@greenschool.org.