IDX Officially Implements Stock Liquidity Provider Quota
The Indonesia Stock Exchange (IDX) has officially begun implementing stock liquidity provider quotas as part of efforts to strengthen liquidity and trading efficiency in the Indonesian capital market. The implementation was marked by the inaugural quotation executed by one of the exchange members, Phintraco Sekuritas. IDX Director of Trading and Member Regulation, Irvan Susandy, stated in an official release in Jakarta on Monday that active participation by exchange members as stock liquidity providers is a key element in enhancing liquidity and the quality of price discovery. “IDX appreciates Phintraco Sekuritas’s commitment to supporting the stock liquidity provider programme. We hope this step will encourage increased liquidity, particularly for stocks with potential for optimal development,” said Irvan. “The presence of stock liquidity providers plays an important role in improving trading quality through narrowing bid-ask spreads, increasing market depth, and supporting transaction ease for investors,” added Irvan. IDX assesses that the involvement of exchange members will be a key factor in the success of this programme’s implementation. Therefore, IDX continues to encourage broader participation from market players so that this initiative can run optimally. Irvan hopes that the success of the inaugural quotation execution can serve as a catalyst for other exchange members to participate, thereby making the trading ecosystem more liquid, credible, and competitive. He assured that IDX will conduct ongoing evaluations, provide incentives, and continue to encourage active participation from all exchange members in the stock liquidity provider programme. “This step is an effort to strengthen market structure and increase the attractiveness of the Indonesian capital market at both regional and global levels,” said Irvan. Information regarding the list of stocks quoted by stock liquidity providers is available on the IDX website at www.idx.co.id > Market Data > Stock Data > List of Liquidity Provider Stocks or via the link www.idx.co.id/id/data-pasar/data-saham/daftar-efek-liquidity-provider-saham/.