Jakarta. The Financial Services Authority (OJK) aims to complete implementing regulations for the demutualization of the Indonesia Stock Exchange (IDX) within three months, introducing ownership limits to prevent any single shareholder from dominating the country's bourse.

The initiative follows the enactment of a revised financial sector law that authorizes OJK to oversee the transformation of IDX from a member-owned exchange into a shareholder-owned company.

Demutualization has become a common model among major global exchanges, enabling them to strengthen corporate governance, attract strategic investors, expand internationally, and invest more aggressively in technology while maintaining their regulatory responsibilities.

“We are currently drafting the implementing regulations, including provisions on who may become shareholders after demutualization,” OJK Capital Market Supervisory Chief Hasan Fawzi said on Tuesday during the 25th anniversary celebration of Investor Daily at the Indonesia Stock Exchange in Jakarta.

“We are also studying ownership caps. The principle is that no shareholder should be allowed to control the exchange because it operates critical market infrastructure and must serve the interests of all market participants,” he said.

Under the current mutual ownership model, IDX is owned exclusively by its exchange members. Demutualization will allow qualified external investors to acquire shares, aligning Indonesia's exchange structure with that of many major stock exchanges around the world.

Hasan stressed that despite the ownership change, IDX will continue to serve as a Self-Regulatory Organization (SRO) responsible for maintaining fair and orderly capital markets.

“The exchange is not merely a commercial entity. Its independence as a Self-Regulatory Organization remains our top priority,” he said.

The new framework will also allow IDX to expand its commercial activities through strategic partnerships with regional and global exchanges while modernizing its products and services.

“We want to create room for the exchange to modernize, including through strategic cooperation with regional and international exchanges where appropriate,” Hasan said.

Following demutualization, IDX will be permitted to generate profits and distribute dividends to shareholders.

“The exchange will be able to earn profits and pay dividends, but safeguarding its independence as an SRO will remain paramount,” Hasan said.

The reform follows the passage of Law No. 4 of 2026 on the Development and Strengthening of the Financial Sector, enacted on June 17. The legislation gives OJK direct authority to formulate the regulations needed to implement IDX's demutualization.