Jakarta. The Financial Services Authority (OJK) said on Monday that the country’s capital market has become more resilient to global volatility as the number of domestic investors continued to rise sharply.

OJK Head Friderica Widyasari Dewi said Indonesia had added 6.4 million individual investors since the end of last year, bringing the total number of domestic capital market investors to 26.8 million.

According to Friderica, Indonesia’s capital market faced multiple external pressures earlier this year, including turbulence triggered by MSCI index evaluation announcements in late January 2026 amid concerns over widespread stock price manipulation.

The market also faced additional pressure from outlook adjustments by credit rating agencies, including Moody's and Fitch Ratings.

At the same time, escalating geopolitical tensions in the Middle East added uncertainty to global financial markets through rising energy prices and disruptions to oil shipping routes in the Strait of Hormuz.

Despite those challenges, Friderica said Indonesia’s capital market is now better prepared to withstand external shocks because regulators have continued strengthening market integrity and improving market fundamentals.

“Indonesia now has 26.8 million investors. Since the end of last year, we have added 6.4 million, which is extraordinary. So why should we worry when the number of domestic investors continues to grow?” Friderica said during the Investor Relations Forum at the Indonesia Stock Exchange in Jakarta.

“When those shocks occurred, we had already addressed many of the issues that had become concerns among global investors regarding the Indonesian market,” she added.

Friderica said the regulator continues encouraging greater participation from domestic investors, both retail and institutional, to reduce dependence on foreign capital flows.

According to her, a larger domestic investor base would strengthen the market’s ability to withstand foreign capital outflows during periods of global uncertainty.

“When volatility and external shocks occur while our fundamentals remain strong, domestic investors will become the backbone supporting our market,” she said.

She added that confidence in Indonesia’s capital market must continue to be maintained as long as the country’s economic fundamentals remain solid.

Add as a preferred source on Google +