IDX Composite Plummets Over 4%, Purbaya Blames Negative Rumours
Jakarta, CNBC Indonesia - Finance Minister Purbaya Yudhi Sadewa has responded to the continuous sharp decline in the Indonesian stock market. According to him, the fall of the Indonesia Composite Index (IHSG) is driven by numerous negative issues circulating in society.
“It is because of many negative issues,” he stated when met at the DPR RI building in Jakarta on Wednesday (3/6/2026).
He noted that domestic negative rumours have led several rating agencies to question Indonesia’s economic condition. “So I think there are many rumours domestically; for instance, when S&P comes here, there are rumours that S&P will downgrade us. Even though I was just about to meet them tonight,” he revealed.
However, Purbaya asserted that based on the nation’s fiscal condition, there are no obstacles. “Looking at our fiscal condition, I see no problems,” he added.
He urged investors not to be anxious about the current capital market situation, as he believes Indonesia’s economic fundamentals remain strong. He suggested that the cause of the IHSG’s collapse is selling pressure resulting from investor responses, but expects this condition to be short-term.
“Do not be afraid; the economic fundamentals are good. This might just be a short-term fear. The economic fundamentals are good, there are no problems,” he said.
Purbaya stated that Indonesia’s economic resilience is reflected in tax revenues and economic circulation. He noted that purchasing power remains high due to steady public consumption. “I think if you go on holiday to the regions, Jakarta becomes empty. But it turns out Jakarta is also busy. I haven’t gone anywhere, I’ve been walking around Jakarta, and it is crowded. So, it is still strong. Public purchasing power is quite strong, which will drive our economic growth. There is no need to fear a collapse or anything,” he expressed.
Purbaya added that the IHSG is capable of rebounding because it possesses a sufficiently solid economic foundation. “I am confident it will rise again because the economic foundation is good,” he concluded.
For information, the IHSG suffered a massive decline today, Wednesday (3/6/2026). Within 5.5 hours of trading today, the IHSG experienced severe volatility, recording several poor benchmarks. Market data shows that the domestic benchmark index previously sat at its historical peak of 9,134.70 on 20 January 2026. However, today the IHSG was observed to close down by 4.11% to the level of 5,941.07 from the previous close. During the second trading session, the IHSG even touched a level of 5,842.00, its lowest since 31 May 2021 during the Covid-19 era. The decline from the peak on 20 January 2026 to the current low reflects an extreme correction of 34.96% in a trading period of less than six months.