Jakarta. Indonesian stocks extended gains for a second straight session on Tuesday as expectations of fresh government stimulus in the fourth quarter bolstered domestic sentiment, offsetting mixed moves across regional markets.

Jakarta Composite Index rose 27 points, or 0.33%, to 6,145 in early trading, moving within a range of 6,134 to 6,146.

Some 7.34 billion shares changed hands in the opening minutes, with trading value reaching Rp 521.21 billion ($29 million) across 61,719 transactions. A total of 280 stocks gained, 143 declined and 236 were unchanged.

Phintraco Sekuritas said the government plans to allocate up to Rp 31 trillion for economic stimulus programs in the fourth quarter of 2026, aimed at strengthening the economy by protecting purchasing power, expanding employment and supporting business continuity.

The first measure is a Rp 1.28 trillion program to open bank accounts for citizens aged above 17 who fall within the bottom four income deciles.

The government will also allocate Rp 17.5 trillion for food assistance, including 10 kilograms of rice, and Rp 12 trillion for wage subsidies.

Looking ahead to 2027, Phintraco Sekuritas said the government would continue its apprenticeship program for 150,000 participants and vocational training for 300,000 people.

The government will also expand the income tax relief under Article 21 to workers earning less than Rp 10 million per month across all sectors, benefiting 7.5 million workers.

The government is also extending its value-added tax borne by the government (PPN DTP) incentive through 2027 for houses priced up to Rp 2 billion, as well as PPN DTP on the first Rp 2 billion of the price of homes priced up to Rp 5 billion.

“The government is also preparing subsidized mortgages with an interest rate of 6% for people with fixed incomes of around Rp 17 million, for homes priced up to Rp 500 million,” Phintraco Sekuritas said.

External sentiment also provided support after Wall Street closed higher on Monday, according to Kiwoom Sekuritas Indonesia. A rally in large-cap technology stocks helped offset concerns over elevated oil prices and bond yields.

The S&P 500 gained 0.66%, while the Nasdaq 100 climbed 1.05% to a record 27,477. The Dow Jones Industrial Average added 91 points.

As of 9:15 a.m. Jakarta time, Tokyo’s Nikkei 225 was up 0.36%, while Seoul’s Kospi fell 0.27%. Hong Kong’s Hang Seng Index gained 0.71%. Mainland Chinese markets were closed for a golden week holiday.

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