Jakarta. Indonesia’s stock market opening is traditionally seen as more than a ceremonial start to the trading year, often read by investors as a signal of how much attention and support the government places on the capital market.

At the opening of trading in 2025, President Prabowo Subianto was not present and was instead represented by Finance Minister Sri Mulyani Indrawati. Despite his absence, Indonesia’s capital market went on to deliver a strong performance throughout the year, with the Jakarta Composite Index (JCI) posting significant gains and repeatedly setting new record highs.

The JCI ended 2025 up 22.10% year-to-date at 8,644.26 as of Monday, Dec. 29. Earlier in the year, on Dec. 8, the benchmark index reached an all-time high of 8,710.69. The rally was accompanied by rising investor participation and deeper market liquidity, reflecting sustained optimism over the outlook for Indonesia’s capital market.

Market analyst Hans Kwee said the presence of top state officials at the market’s opening carries symbolic weight, even if it does not directly determine index movements.

“The President’s presence signals the government’s concern for the financial industry, especially the capital market, although market direction is ultimately driven by economic fundamentals, stock valuations, and global and domestic sentiment,” Hans told reporters on Tuesday.

He added that the JCI’s gains in 2025 were neither instant nor merely short-lived. The market, he noted, faced significant pressure early in the year, including a sharp correction triggered by global headwinds.

“At the start of the year, the index was around 7,100. The market weakened and even experienced a trading halt in March, driven by global dynamics and the United States’ reciprocal tariff policies,” he said.

As the year progressed, investor perceptions of both global and domestic risks improved. External uncertainties were no longer viewed as severely as before, while gains in heavyweight stocks helped support the broader index. Domestically, sentiment was also buoyed by optimism over policy improvements and clearer economic communication.

“Markets tend to be calmer when there is acknowledgment that the economy faces challenges and needs fixing. That gives investors room to look at medium- and long-term opportunities,” Hans said.

The market’s advance was matched by growth in the investor base. Exchange data show that as of Dec. 29, 2025, the number of Single Investor Identification (SID) accounts reached 20.32 million, with stock investors totaling 8.59 million. Market capitalization stood at around Rp 16,000 trillion, equivalent to roughly 70% of Indonesia’s gross domestic product.

Liquidity also hit a fresh milestone, with average daily trading value reaching Rp 18.06 trillion, underscoring the expanding role of the capital market as both an investment vehicle and a funding source for businesses.

With a solid performance behind it, market attention is now shifting to the opening of trading in 2026. Investors are watching closely for policy signals and the government’s direction in further developing the capital market, including its role in supporting economic growth. The possible presence of President Prabowo at the 2026 opening is widely seen as a meaningful signal in sustaining the market’s positive momentum into the year ahead.