OJK Assesses No Excessive Panic in Domestic Stock Market

Jakarta — Indonesia’s Financial Services Authority (OJK) has assessed that the domestic stock market remains in relatively stable condition as of Tuesday, 10 March, with no excessive panic from market participants despite escalating geopolitical conflict in the Middle East.

According to Hasan Fawzi, OJK Board Member and Acting Head of Capital Market, Derivatives Finance and Carbon Exchange Supervision, recent stock market movements have primarily reflected price adjustments in response to various global developments, including geopolitical dynamics and global economic conditions.

“There is no excessive panic,” Hasan stated during a discussion event in Jakarta on Tuesday evening, 10 March.

The OJK noted that foreign investors continued to make purchases in the domestic stock market. During the 1-6 March 2026 period, foreign investor net purchases were recorded at approximately Rp2.23 trillion. Accumulating through 10 March 2026, Hasan stated that net purchase value could reach Rp3.3 trillion.

According to Hasan, this demonstrates that investor interest in Indonesia’s capital market remains intact despite global sentiment tending to pressure financial markets.

Nevertheless, the OJK closely monitors market developments to determine whether additional policy measures are necessary to maintain market stability. Policies implemented include permits for companies to conduct share buybacks without shareholder approval, prohibition of short-selling practices, and the application of asymmetric auto-rejection mechanisms.

The OJK stated that to date the market remains sufficiently capable of absorbing external pressure without requiring additional policy tightening, such as stricter share price decline restrictions.

“When we issued those policies, and they have not been withdrawn since. So actually it has been quite effective in responding to volatility like this. But is it time to tighten further or provide additional policies? We will certainly monitor and require time,” Hasan explained.

In addition to net purchase values, the OJK noted that average daily transaction value in the domestic stock market remained quite robust. Average daily transaction value approached Rp30 trillion as of 6 March 2026, representing a 65.31 per cent increase year-to-date.

“Despite market responses and volatility, the average daily transaction value remains at high levels,” Hasan concluded.