OJK Fit and Proper Test at Parliament: Friderica Targets IPO Free Float Rise to 15 Per Cent from 2026
Jakarta — Friderica Widyasari Dewi, a candidate member of the Financial Services Authority (OJK) Board of Commissioners, has proposed increasing the minimum free float requirement to 15 per cent for companies conducting initial public offerings (IPOs) from 2026 onwards.
The policy was presented by Friderica during her fit and proper test before Commission XI of the People’s Consultative Assembly (DPR RI) on Wednesday, 11 March 2026.
She stated that the increase in free float represents part of efforts to strengthen integrity, transparency, and liquidity in Indonesia’s capital market. Currently, the minimum free float requirement stands at around 7.5 per cent, but the regulator plans to raise it to 15 per cent in stages.
“This has been a fairly heated discussion regarding how to increase the current 7.5 per cent to 15 per cent,” said Friderica, known colloquially as Kiki, during the fit and proper test session.
Friderica emphasised that the free float increase cannot be implemented immediately as it must occur in phases to avoid disrupting market stability.
As an initial measure, the OJK is encouraging companies conducting IPOs from this year to already meet the 15 per cent minimum free float requirement.
“We cannot of course immediately meet the 15 per cent requirement, as it must happen in stages. We have indicated that for IPOs entering the market this year, 15 per cent must already be met,” she explained.
The OJK has also discussed implementation schemes for the policy with issuer associations. According to Friderica, issuers will be given time to meet the free float requirement in phases, for example through adjustments in the first year and continuation in the third year.
However, if companies ultimately cannot meet the free float requirements set by the regulator, the OJK has prepared an exit policy.
“This means companies cannot continue to exist without meeting the requirements set by the regulator,” Friderica stated.
She estimated that the need to increase free float in Indonesia’s capital market in 2026 would exceed Rp 200 trillion.
The OJK, she said, has intensified law enforcement actions against those engaged in stock manipulation or practices known as “saham gorengan” (fraudulent share trading).
This action is being undertaken through coordination between the investigation unit within the OJK and law enforcement agencies, including the police.
“We are enforcing the law against parties engaged in stock manipulation and fraudulent share trading through coordination with the investigation department at the OJK, which also involves the police,” she continued.
She added that law enforcement efforts have received positive responses from the public and market participants, as it is considered important for maintaining investor confidence in Indonesia’s capital market.