Finance Minister Purbaya prepares no special intervention to support JCI
Finance Minister Purbaya Yudhi Sadewa has stated that he is not preparing any special interventions to address the recent pressures on the Jakarta Composite Index (JCI). According to the Minister, the nation’s strong economic fundamentals can serve as a reliable pillar to support the movement of the JCI.
“From my side, there is no (intervention). What is important is that I explain that our economic foundation is good and will continue to improve. That should serve as the basis for stock price valuations,” Purbaya said when confirmed at the Parliament Complex, Jakarta, on Thursday.
The JCI continued to experience a sharp correction during Thursday’s trading, dropping by more than 4 per cent.
In a previous statement, Minister Purbaya expressed optimism that the JCI is capable of rebounding, supported by solid economic fundamentals. Speaking at the Parliament Complex on Wednesday, Purbaya noted that various economic indicators could drive the JCI back into positive territory. One such indicator is the inflation rate for May 2026, which stood at 3.08 per cent year-on-year, remaining within Bank Indonesia’s target range of 2.5 per cent plus or minus 1 per cent.
Furthermore, tax revenues were recorded at Rp646.3 trillion as of 30 April 2026, representing a year-on-year growth of 16.1 per cent. The state treasurer assessed that the current JCI volatility is a short-term concern, influenced by negative domestic issues. He also ensured that the government would maintain economic performance and keep market sentiment stable.
As of Thursday (4/6) at 10:02 WIB, the JCI was recorded to have weakened by 246.14 points, or 4.14 per cent, to the level of 5,694.91.
Capital market observer and Founder of Republik Investor, Hendra Wardana, assessed that the sharp correction in the JCI indicates that the market is facing a significant crisis of confidence. According to him, the decline in the stock market is not only influenced by external sentiment but is also exacerbated by several domestic factors.
The weakening of the Rupiah is being influenced by concerns regarding the single-door export policy, alongside continued foreign capital outflows, which have prompted investors to reduce their holdings in risky Indonesian assets. Hendra noted that this condition appears contrasting, as most other Asian stock exchanges have actually moved higher.
“This condition shows that the pressure on the domestic market stems more from internal factors than external ones,” he explained.