Indonesian regulator links stock market weakness to structural reforms
OJK said corporate performance remained strong and capital-market fundraising reached Rp205.77 trillion through October 2026.
Indonesia’s Financial Services Authority (OJK) has attributed weakness in the country’s benchmark stock index, the IHSG, partly to structural changes under way in the capital market. The regulator described the programme as Indonesia’s largest capital-market reform.
Speaking at a KSSK press conference on 3 November 2026, OJK chair Friderica Widyasari Dewi said the market needed to compete internationally rather than focus solely on domestic activity. She also identified global geopolitical developments and inflation as factors influencing the index.
Friderica likened the reforms to a detoxification process, saying efforts to remove undesirable elements would be reflected in current market conditions. She urged the public to consider company fundamentals alongside index movements, saying listed companies were delivering very good results.
Capital-market fundraising also remained positive, particularly in the domestic market, she said. Proceeds through October 2026 stood at Rp205.77 trillion, covering 7 initial public offerings, 20 limited public offerings, 11 debt securities issues and other issuances.
