IPO Pipeline Proves Capital Market Trust, Says Airlangga

Coordinating Minister for Economic Affairs Airlangga Hartarto has stated that the continued activity of initial public offerings (IPOs) is a positive indicator of business confidence in the national capital market. The current IPO momentum is particularly significant as it marks the second listing in Indonesia for 2026, occurring amidst high stock market dynamics. Despite this, the ongoing IPO activity reflects business optimism regarding the sustained prospects of the national economy. In the first quarter of 2026, the Indonesian economy grew by 5.61%, demonstrating strong resilience amid global economic dynamics. This positive performance was supported by maintained domestic consumption, increased investment activity, and various reforms implemented by the government to strengthen the business climate. ‘Congratulations and break a leg to the new President Director of the Indonesia Stock Exchange (BEI), this is the first IPO since you took office,’ Airlangga Hartarto said at the BEI building in Jakarta on Tuesday (7/7/2026). One of the key sectors supporting economic growth is the food and beverage industry. In the first quarter of 2026, this sector contributed 7.31% to the national Gross Domestic Product (GDP), an increase from 7.20% in the same period the previous year. The food and beverage industry also recorded growth of 7.04%, driven by increased demand during the National Religious Holiday (HBKN) period. From an investment perspective, the food and beverage sector continues to show positive performance. In the first quarter of 2026, foreign direct investment (PMA) in this sector reached IDR 10.48 trillion, while domestic direct investment (PMDN) reached IDR 16.34 trillion. These achievements reflect high investor interest in the real sector and indicate that the domestic market remains vibrant, purchasing power is maintained, and the national investment climate is on the right track. The government is also continuing capital market reforms to maintain investor confidence and enhance the competitiveness of the national financial market. The decision by global index provider MSCI to retain Indonesia in the Emerging Market category during its June 2026 evaluation reflects the strong fundamentals of the national economy and the increasing credibility of the Indonesian capital market in the eyes of global investors. The continued IPO activity is expected to further strengthen the capital market’s function as a source of long-term financing for businesses. Through funds raised from the public, companies can accelerate business expansion, increase production capacity and innovation, and create more jobs, thereby making a greater contribution to national economic growth. Going forward, the government, together with the Financial Services Authority (OJK) and the Indonesia Stock Exchange, will continue to strengthen capital market reforms through increased transparency, governance, and investor protection. These measures are expected to deepen the Indonesian capital market, broaden access to financing for businesses, and strengthen the financial sector’s contribution to supporting inclusive and sustainable economic growth. ‘There are six more issuers that will soon list their initial shares,’ Airlangga asserted.