IHSG Strengthens, Danantara: Investors Increasingly Confident in RI's Economic Fundamentals

Danantara Indonesia is confident that the strengthening of the Jakarta Composite Index (IHSG) reflects increasing investor confidence in the prospects of the Indonesian economy. The IHSG closed at 6,007.65, up 2.07% daily at the end of trading on Friday (12/6/2026). Over the week, the IHSG position showed a strengthening of 7.38%.

Danantara Indonesia Chief Operating Officer and Head of BP BUMN Dony Oskaria said the stock market rally shows investors are increasingly placing faith in the national economic fundamentals and the performance of domestic companies. He noted that short-term market movements are often influenced by various sentiments. However, in the long term, investors will return to considering fundamental factors, both from the corporate side and the country’s economic conditions.

“There are issues and sentiments that quite influence it, but in the end, all investors will look at the fundamentals of the company and the country,” he said. Dony assessed that a number of state-owned enterprises (BUMN) still have strong fundamentals, especially in the banking, mining, and infrastructure sectors. This condition serves as capital to maintain investor confidence while increasing company value.

He also touched on the corporate action of share buybacks carried out by several BUMN issuers. According to him, this step is a normal business decision if the share price is deemed not yet to reflect the company’s fundamental value. “Buyback is actually a normal process. If we see our shares are too low, of course we will take them. It would be a shame, rather than investing elsewhere, it is better we invest in our own shares,” he said. Dony is optimistic that investor confidence in Indonesia will continue to increase in line with the strong national economic fundamentals and the transformation being carried out by BUMN companies.