Indonesian Political, Business & Finance News

Information Transparency as Key to Strengthening the Capital Market

| | Source: REPUBLIKA Translated from Indonesian | Finance
Information Transparency as Key to Strengthening the Capital Market
Image: REPUBLIKA

Jakarta – Information transparency is considered a continuing challenge in the development of Indonesia’s capital market. Openness is deemed critical to maintain investor confidence while enhancing the competitiveness of the domestic exchange.

The issue was discussed at the Road to Investor Relations Forum (IRF) 2026 event held at the Indonesia Stock Exchange building in Jakarta on Tuesday, 10 March. Mukhamad Misbakhun, chairman of Commission XI of the House of Representatives, stated that transparency is a vital foundation for capital market development.

“Communication like this is important for building transparency in the capital market,” Misbakhun said in a statement released on Friday, 13 March 2026.

Jeffrey Hendrik, Acting Chief Executive of the Indonesia Stock Exchange, said the Indonesian capital market is currently in a transformation phase. Various reform measures are being implemented to enable the domestic exchange to compete with global capital markets.

According to Jeffrey, these efforts must be accompanied by open communication with investors and the public. Information regarding policies and market developments is deemed necessary to be conveyed consistently.

“This is an important moment to elevate our capital market. Therefore, the various steps being taken must continue to be communicated to the public,” Jeffrey said.

Eddy Manindo Harahap, Deputy Commissioner for Capital Market Supervision at the Financial Services Authority, said Indonesia’s capital market has significant potential in the Southeast Asian region. However, improvements in governance quality and information openness remain important factors for market development.

“We certainly need to be more transparent so our market can develop better,” Eddy said.

Capital market analyst Hans Kwee stated that clear information flow can help investors in making investment decisions. Good communication is also considered to reduce misunderstandings between regulators, issuers, and market participants.

“If communication is maintained well, investors can also more easily understand market conditions,” Hans said.

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