Mocked as Mad, Purbaya Confident IHSG Can Break Through 28,000
JAKARTA, KOMPAS.com - Finance Minister Purbaya Yudhi Sadewa remains confident that the Composite Stock Price Index (IHSG) has the potential to break through the 28,000 level in the coming years, despite the projection once earning him mockery as mad.
Purbaya stated that this confidence is based on his view that stock market movements are largely determined by the strength of economic fundamentals and the growth expansion cycle.
“Let’s say it’s now 7,000. Our expansion will continue until 2029-2030. That’s what I mean—it could multiply by 4-5 times. It could reach 28,000 at worst. They said Purbaya is mad,” Purbaya said at the Inauguration of the Planned and Periodic Investment Programme (PINTAR) for Mutual Funds and the Opening of Mutual Funds Week 2026, at the Indonesia Stock Exchange (BEI) Building, on Monday (27/4/2026).
According to this state treasurer, the target is not impossible if the economy grows strongly and the expansion proceeds in the direction hoped for by the government.
He compared the index’s performance during the 2002 period, when it was still in the 400s, but successfully rocketed to the 2,500 level in 2009.
“If I’m the Finance Minister, yes. I always say that economic fundamentals will determine our IHSG value, right. I always say, from the lowest economic point to the end of the expansion period, it can multiply by 4-5 times,” he stated.
Assuming the IHSG is currently around 7,000, he considers the 28,000 level still reasonable within a long expansion phase.
To support his argument, Purbaya also referenced Indonesia’s historical capital market experience.
According to him, a similar surge could happen again if national economic growth develops well and the market receives strong fundamental support.
Purbaya also assessed that the future prospects of the capital market are supported by increasing participation from retail investors, especially from the younger generation.
Purbaya noted that around 57 percent of current investors come from Generation Z, which he views as positive capital for deepening the domestic financial market.
“Now there are also many Gen Z investing in the capital market, right. Around 57 percent,” he said.
Despite his optimism, Purbaya reminded young investors not to view the stock market as a quick path to profits without adequate knowledge.
According to him, investing in the capital market still requires understanding and learning, including from professional actors.
He advised beginner investors to follow professional strategies first while learning to understand market mechanisms, before making independent investment decisions.
“Then, if you feel more skilled, you can directly invest in the stock market,” he said.