Jakarta (ANTARA) - Indonesia's capital market sector still has great potential amid positive growth in 2023, Head of the Board of Commissioners of the Financial Services Authority (OJK) Mahendra Siregar stated here on Tuesday.

At the 2024 Indonesia Stock Exchange (IDX) Trading Opening at the IDX Main Hall, he remarked that capital market capitalization only reached 64 percent of Indonesia's gross domestic product (GDP), which was Rp11,674 trillion by the end of 2023.

"Some ASEAN countries' (market cap) has reached 100 percent of their GDP," Siregar remarked.

He explained that the number of capital market investors only accounted for 6.4 percent of the total productive age population in Indonesia, which is recorded at 12.13 million single investor identification (SID) by the end of 2023.

To maximize the capital market potential, Siregar stated that the OJK continues to improve the integrity, credibility, and good corporate governance (GCG) of the entire ecosystem of Indonesian capital market players.

He said the OJK is also accelerating the completion of examinations and integrated sanctions for financial service institutions (FSIs).

He affirmed that the OJK is committed to protecting investors and the public by supervising the behavior of financial service actors or market conduct.

In addition, it will closely monitor all unusual market activity (UMA) or unusual stock movements to ensure no violation of prevailing regulations.

Siregar stated that fundraising and financing in the future will increasingly rely on greater domestic capabilities, which will only occur if it is accompanied by integrity, credibility, GCG, and guaranteed consumer protection.

"All companies and market participants must comply with it, whether state-owned, private, large, medium, or small companies," he stated.

Meanwhile, Vice President Ma'ruf Amin urged Indonesia's capital market sector to make breakthroughs, thereby easing financing for small businesses.

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Translator: M Heriyanto, Kenzu
Editor: Azis Kurmala
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