Jakarta. Indonesia's new stock exchange chief has set an ambitious goal of turning the country's capital market into one of the world's 10 largest by 2030, as authorities seek to restore investor confidence after one of the worst equity selloffs among major markets this year.

The Indonesian Stock Exchange (IDX) on Monday appointed Jeffrey Hendrik as president director for the 2026-2030 term, tasking him with reviving market confidence, deepening the domestic investor base and improving market transparency.

"We are no longer talking about ASEAN. We are talking about how Indonesia can become one of the world's top 10 capital markets," Jeffrey told reporters after the annual shareholders meeting in Jakarta.

The target comes at a difficult time for Indonesia's capital market. The Jakarta Composite Index has fallen about 33% so far this year, making it one of the world's worst-performing major equity benchmarks. Foreign investors have sold roughly Rp 71.7 trillion ($4 billion) worth of Indonesian equities in 2026.

The selloff has reduced the market capitalization of Indonesian listed companies to around $577 billion, placing the exchange outside the world's top 20 stock markets. Last month, Indonesia also lost its position as Southeast Asia's largest stock market after Singapore overtook Jakarta in terms of market capitalization.

Jeffrey said the exchange would pursue market deepening by increasing both the supply of quality listed companies and investor participation.

Under the new roadmap, IDX aims to increase the number of listed companies to more than 1,100 by 2030, compared with around 1,000 currently. The exchange expects companies from various sectors, including state-owned enterprises, to contribute to future listings.

Restoring Investor Confidence
The exchange's long-term ambitions come as Indonesia works to address investor concerns raised by MSCI earlier this year. The global index provider warned about issues involving market transparency and trading practices, prompting concerns that Indonesia could eventually lose its emerging-market status.

Although MSCI retained Indonesia's classification as an emerging market in its latest review, it said concerns remain regarding shareholder transparency and indications of coordinated trading activity.

"The message from MSCI is consistency," Jeffrey said. "They have acknowledged that our policies are moving in the right direction. What they want to see now is consistent implementation."

Indonesian authorities have introduced a series of reforms aimed at improving market integrity, including stronger beneficial ownership disclosure requirements, tighter market surveillance and enhanced transparency standards.

The exchange has also increased minimum free-float requirements from 7.5% to 15% and plans to strengthen oversight of companies with highly concentrated ownership structures.

Jeffrey said regular screening of stocks with concentrated ownership patterns would help protect retail investors and reduce the risk of market manipulation.

Indonesia's capital market regulator and the exchange hope the reforms will improve price discovery, strengthen investor confidence and preserve Indonesia's position in major global indexes.

The exchange must reverse foreign outflows, restore liquidity and attract new listings at a time when global investors remain cautious about emerging markets and domestic concerns over corporate governance continue to weigh on sentiment.

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