Jakarta, The Indonesia Post – Chairman of the Board of Commissioners of the Financial Services Authority (OJK) Mahendra Siregar stated that Indonesia’s capital market performance in 2022 was the best compared to ASEAN and Asian countries in general.
“The performance of the Indonesian capital market in 2022 has actually survived and tends to show very positive and even the best performance compared to countries in ASEAN and Asia in general,” he said at the Opening of the 2023 Indonesia Stock Exchange Trading in Jakarta, Monday.
Mahendra said this positive achievement was reflected in the performance of the 2022 Composite Stock Price Index (IHSG), which closed a four percent increase compared to last year.
Apart from that, trade activity in 2022 also experienced a significant increase, which can be seen from the frequency of daily transactions which reached 1.31 million times, making it the largest in ASEAN.
Meanwhile, market capitalization is also the highest, reaching IDR 9,500 trillion or US$600 billion, which means it is 50 percent of Indonesia’s Gross Domestic Product (GDP).
Mahendra continued that there were 59 companies that issued their initial shares (IPO) on the stock exchange in 2022.
The number of capital market investors has also increased to 10.3 million, which means a 10-fold or 1,000 percent increase in the last five years since 2017. In fact, the number of capital market investors is dominated by domestic investors, reaching 55 percent of the total investors.
“And if you count the millennial and Z generations, it’s 58.7 percent. Those are extraordinary achievements,” said Mahendra.
According to him, this achievement was very positive, especially in the midst of the closing of trading on European stock exchanges on December 30, 2022, which was considered brutal by one of the international financial media.
European stock markets fell brutally due to the war in Ukraine, high inflation and tight monetary policies. The European index fell 12 percent which is the worst since 2018 even worse than the pandemic in 2020-2021.
It was also conveyed that the Euro Zone in the new year entered into a zone of heavy sluggishness and even the Bank of England (BoE) said that the British economy would enter into a prolonged recession.
“This is very different from the atmosphere we are experiencing at the moment. So it was an eerie atmosphere in Europe. In that context we should be grateful,” he said. (mhn/bbs)
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