IHSG Surges 17% in Five Days: Here's What's Driving the Rally
The Jakarta Composite Index (IHSG) is gradually recovering, rising 17.09% over the last five trading days since its lowest close on 8 June 2026. In percentage terms, if the index posts a 20% gain from that trough, the bull market confirmation threshold would stand at 6,381.49.
Global index provider MSCI will soon deliver important announcements for Indonesia’s capital market industry. Two agendas will determine the fate of the domestic stock market: the results of the MSCI Accessibility Review on 19 June 2026 and the MSCI Classification announcement on 24 June 2026.
The Financial Services Authority (OJK) has commended listed companies that have supported the market through recent share buyback corporate actions.
Hasan Fawzi, Chief Executive of Capital Market, Derivative Finance, and Carbon Exchange Supervision at OJK, said the commitments and proposed buyback plans have begun to have a positive impact on the trajectory of the Indonesian stock market.
“We are indicating that the commitments and proposed buyback plans that have been submitted gradually are indeed starting to be realised in the market,” he said when met at the DPR RI building in Jakarta on Tuesday (17/6/2026).
Besides the buyback sentiment, Hasan said other factors are also influencing investor perception towards share prices that have already experienced significant declines.
“So perhaps investors have reached a consensus to enter and start collecting the best shares available on the exchange. I see a reversal occurring in the past one to two weeks,” he revealed.
Previously, share buyback actions in connection with OJK provisions in 2025 allowed issuers to conduct share buybacks without a General Meeting of Shareholders (RUPS), a positive signal for the continuity of market price movements.
OJK recorded that 65 issuers on the Indonesia Stock Exchange (BEI) are conducting share buybacks without requiring RUPS approval. The total allocated funds from all these corporate actions reached Rp65.34 trillion.
The latest data shows that the realisation of these buyback plans has currently reached only 30%. This figure is equivalent to Rp17.12 trillion, resulting from the execution by 64 issuers.
This policy refers to POJK Number 13 of 2023, which provides flexibility for issuers to repurchase their shares up to a maximum limit of 20% of paid-up capital, especially in significantly fluctuating market conditions.
Buyback actions are one of the instruments facilitated by the regulator to give issuers greater flexibility in managing their capital structure.
Furthermore, this step is generally used by management to signal confidence in the company’s fundamental prospects and business continuity. OJK stated it will continue to monitor market activity closely to ensure all processes run fairly, efficiently, and transparently.
Details of Buyback Fund Allocations for 40 Issuers
Based on the latest market data, there are 40 issuers whose buyback fund allocation data, as part of the plan, have been monitored.
PT Astra International Tbk (ASII) recorded the largest maximum allocation with a value of Rp8 trillion, followed by PT Bank Central Asia Tbk (BBCA) at Rp5 trillion, and PT Telkom Indonesia (Persero) Tbk (TLKM), PT Alamtri Resources Indonesia Tbk (ADRO), and PT Jaya Real Property Tbk (JRPT), each allocating Rp4 trillion.