IHSG Slumps to 6,094 Amid Sentiment Over Centralisation of Commodity Exports
The Indonesia Stock Exchange’s Composite Index (IHSG) on the Bursa Efek Indonesia (BEI) closed sharply lower on Thursday, 21 May 2026, dragged by negative sentiment surrounding a plan to centralise the governance of exports of strategic commodity resources (SDA). The IHSG fell 223.56 points, or 3.54%, to 6,094.94. The LQ45 index also declined, down 14.28 points, or 2.26%, to 616.40.
Fixed Income and Macro Strategist at PT Mega Capital Indonesia, Lionel Priyadi, explained that the market reacted negatively to the draft Government Regulation (PP) on the Governance of Exports of Natural Resource Commodities (SDA). The rule includes designating state-owned enterprises (BUMN) as the sole exporters for a number of strategic commodities.
“The main sentiment driving the IHSG’s weakness comes from the plan to centralise commodity exports by BUMN exporters, which is seen as harming companies and shareholders; the negative sentiment came from both domestic and foreign investors,” Priyadi said in Jakarta on Thursday, 21 May.
Market participants also highlighted the establishment of PT Danantara Sumberdaya Indonesia (DSI) under the Danantara Investment Management Agency (BPI) Danantara. PT DSI is projected to strengthen the governance of commodity exports such as crude palm oil (CPO), coal, and ferroalloys to address underinvoicing practices that hurt the state.
IDX-IC sector data showed all eleven sectors were in the red. The basic materials sector posted the deepest decline at 6.96%, followed by the energy sector down 6.74%, and the non-primary consumer goods sector down 5.70%.
Trading today accounted for 2,145,783 transactions with a volume of 35.77 billion shares valued at Rp18.49 trillion. A total of 663 shares fell, 88 rose, and 69 remained unchanged.
Market snapshot (IHSG, 21 May 2026): Regional markets in Asia moved variably. The Nikkei rose 3.10%, the Straits Times added 0.02%, while the Shanghai Composite dropped 2.04% and the Hang Seng fell 1.03%.
Hensa said that the presence of the DPR leadership at BEI indeed sparked curiosity.
Rosan Roeslani, CEO of Danantara, said that banking stocks on BEI are currently undervalued with a price-to-book ratio below 1, even as the IHSG fell sharply.
BEI emphasised that the removal of HSC shares from MSCI and FTSE Russell indices is a short‑term consequence aimed at improving the long-term capital market.
The pressures from the global MSCI rebalancing continue to weigh on domestic stocks after six large Indonesian stocks were removed from MSCI. BEI believes that MSCI rebalancing decisions at least reduce one source of uncertainty shadowing the domestic financial market amid global pressures.
The IHSG opened today down 0.32% at 6,296.29. See market-opening analysis and the sentiment weighing on the index this morning.
In today’s trading, the majority of shares weakened. A total of 197 shares rose, 495 fell, and 124 were unchanged.
Deputy Speaker of the House, Sufmi Dasco Ahmad, together with Danantara CEO Rosan Roeslani and OJK Chair Friderica Widyasari Dewi, visited the Indonesia Stock Exchange (BEI) on Tuesday, 19 May.
Finance Minister Purbaya Yudhi Sadewa stressed that Indonesia’s economy remains solid even as the IHSG weakens due to global sentiment and the US–Iran tensions.
The IHSG slid sharply to 6,402 on Monday, 18 May 2026. Analysts noted a weakening rupiah to Rp17,676 per USD and capital outflows.