Analysis of the role of exchange rate information in foreign currency transaction decision-making at Bank BNI

Abstract

Exchange-rate information is an important input in foreign-currency transactions because exchange-rate movements affect the rupiah value of payments and receipts. This study examines the role of exchange-rate information in customers’ decision-making for foreign-currency transactions at Bank Negara Indonesia (BNI). It uses a descriptive qualitative approach and is designed to draw on interviews, observation, and literature review. The analysis focuses on how customers interpret buying and selling rates, estimate transaction costs, choose transaction timing, and consider exchange-rate risk. Bounded rationality provides the main decision-making lens: customers generally make decisions with limited time, knowledge, and access to information, and may choose an option that sufficiently meets their needs rather than calculate every possible alternative (Simon, 1955). Behavioral finance also suggests that an initially observed rate can become an anchor and that customers may react more strongly to potential losses than equivalent gains (Kahneman & Tversky, 1979). The discussion therefore treats exchange-rate information as a decision aid, not as a guarantee of obtaining the most favorable rate. Clear information about the applicable rate, transaction direction, and possible fees can reduce misunderstanding arising from information asymmetry between banks and customers (Akerlof, 1970). However, the available manuscript does not provide verifiable verbatim interview transcripts or complete fieldwork details. Accordingly, any illustrative interview dialogue must be treated as a research instrument example and cannot be presented as empirical findings until checked against actual interview records. The study concludes that current, understandable exchange-rate information can support more deliberate transaction planning, while decisions must also reflect customers’ needs, available funds, timing, and tolerance for exchange-rate risk.