Finance Minister Purbaya Retained, Analysts See Positive Market Response

The certainty of Purbaya Yudhi Sadusi’s position as Minister of Finance is considered one of the positive sentiments driving the strengthening of domestic financial markets. Fiscal sector stability is deemed important for maintaining investor confidence amidst global economic uncertainty. Lecturer at the Faculty of Economics and Business, Diponegoro University (Undip) Semarang, Esther Sri Astuti, stated that the continuity of leadership at the Ministry of Finance sends a positive signal to market participants by reducing uncertainty regarding the direction of government policy. “Stability at the ministerial level sends a positive signal for investors because it reduces short-term policy uncertainty,” Esther said on Friday (12/6/2026). This sentiment was reflected in the performance of domestic financial markets, which strengthened at the close of trading on Friday. The Jakarta Composite Index (IHSG) closed up 2.07 percent at 6,007.65, with a transaction value reaching Rp 21.60 trillion. A total of 615 stocks rose, 108 stocks fell, and 93 stocks remained stagnant. The rupiah exchange rate also strengthened. The Garuda currency closed at Rp 17,860 per US dollar, gaining 128 points or 0.71 percent compared to the opening trading position. According to Esther, the affirmation of Minister Purbaya’s position provides certainty regarding the direction of national fiscal policy. This certainty is one of the factors encouraging investors to place their funds back into the domestic market. However, Esther cautioned that the strengthening of the rupiah and the IHSG cannot be supported solely by short-term sentiment. The government needs to ensure several fundamental factors to maintain investor confidence. She cited at least seven main factors considered by global investors when investing in Indonesia. First, legal certainty in doing business. Second, promising economic growth prospects. Third, adequate availability of raw materials. In addition, a supportive business ecosystem, integration with the global supply chain, adequate availability of infrastructure such as energy, electricity and water, as well as regulatory harmonisation between central and regional governments are required. “If these factors can be fulfilled, then foreign capital flows will more easily enter Indonesia and support the long-term strengthening of the rupiah exchange rate and the capital market,” Esther said.