Get Ready! Indonesia Stock Exchange Reintroduces Short Selling Starting Today
The Indonesia Stock Exchange (IDX) will implement short selling policies starting today, 1 October 2026. The President Director of the IDX, Jeffrey Hendrik, stated that investors wishing to engage in transactions under this scheme must possess a minimum initial capital of Rp 50 million.
“In accordance with the regulations, the capital requirement is Rp 50 million,” he said, as reported on Wednesday (30/09/2026).
Furthermore, investors intending to use the short selling scheme must first register with securities firms or Exchange Members (AB) that provide such services. Additionally, investors are required to have held a regular account for at least six months before being eligible to utilise the short selling scheme.
These provisions align with Financial Services Authority (OJK) Regulation Number 6 of 2024 regarding the Financing of Securities Transactions by Securities Companies for Clients and Short Selling Transactions by Securities Companies.
Jeffrey warned that short selling carries significant risks. Therefore, those wishing to conduct these transactions must possess sufficient experience and understand the risks involved in using the scheme.
“Short selling is a feature that investors can use as a means to support their investment strategies. However, it is something that contains risk; therefore, it is expected that experienced investors will use short selling as part of their investment strategies,” he explained.
The stocks eligible for transaction include five companies: PT Astra International Tbk. (ASII), PT Bank Central Asia Tbk. (BBCA), PT Barito Pacific Tbk. (BRPT), PT Bumi Resources Tbk. (BUMI), and PT Indofood Sukses Makmur Tbk. (INDF).
Currently, only two securities firms provide this service: Semesta Indovest Sekuritas and Ajaib Sekuritas.
Through the implementation of short selling, the IDX aims for a potential increase in capital market liquidity of up to 17%. However, the actual realisation of this liquidity growth will depend on the number of stocks and Exchange Members that obtain official short selling permits.
Jeffrey requested that market participants do not link the removal of the minimum price limit with concerns regarding short selling activities. This is because stocks included in the short selling scheme meet strict criteria and are guaranteed to be constituents of the LQ45 index.
“Therefore, it is highly unlikely that stocks currently priced at Rp 50 would be permitted for short selling,” Jeffrey told reporters, as quoted on Thursday (17/09/2026).
In other words, various restrictions and detailed regulations have been implemented to prevent massive pressure that could potentially disadvantage certain groups of investors.