JAKARTA - The Financial Services Authority (OJK) together with the Indonesia Stock Exchange (IDX) targets the preparation of regulations related to the increase in the minimum limit of outstanding shares (free float) can be completed in 2026 and implemented gradually.
Deputy Commissioner for the Oversight of Capital Market Investment Management and Securities Institutions of the OJK, Eddy Manindo Harahap, explained that the free float policy is one of the important instruments in supporting the deepening of the financial market, and its implementation requires careful study.
"So we should support 5api, of course, there are many things that must be our concern in drafting the implementation of this free flow," he explained at a press conference at the IDX, Tuesday, December 30.
Eddy emphasized that adjustments to the free float provisions cannot be done in a hurry, and the increase in the portion of outstanding shares must go through the right stages by considering various factors.
He added that several aspects of concern include the target for increasing liquidity, investor protection, investor interest and capacity, the size of market capitalization, and the market's ability to absorb additional shares.
In addition, Eddy added that the appropriate transition period and its impact on the interest of domestic companies to list on the exchange also needed to be taken into account.
"Including we must also pay attention to the interest of domestic corporations for the public offering of it later. So there must be a balance between us encouraging our market to be deeper but also the ability of our market to absorb and so on," he said.
However, Eddy emphasized that the direction of OJK and BEI policies was clear, namely to encourage an increase in the free float portion to a higher level.
He targeted that by the beginning of 2026 there would be significant developments, including the possibility of the issuance of regulations from the IDX.
"Maybe we hope that at least in early 2026 this will start to have results and there will be regulations for bursaries, maybe yes," he explained.
Meanwhile, the President Director of the IDX, Iman Rachman, said that his party is currently completing the study which has entered the final stage.
He added that after the study was completed, the IDX would continue the process of drafting rules (rule making) by opening a response space from market participants, including securities companies, institutional investors, and prospective issuers, before being submitted for OJK approval.
"We will do it as soon as possible in 2026, we will implement it simultaneously with the adjustment of the Exchange Regulation No I-A," he explained.
Iman also assessed that the determination of the minimum free float limit needs to refer to the practices of other exchanges as a benchmark so that the policies implemented are effective and acceptable by market participants.
"The important thing is effectiveness, when there is an IPO it can be absorbed by the market and then domestic companies conduct IPOs on the Indonesian stock exchange, not other stock markets," he said.
For information, in the future plan, OJK and BEI are considering increasing the minimum free float limit for listed issuers to 10 percent to 15 percent. In addition, the two also plan to adjust the free float calculation method for issuers that will conduct IPOs.
Based on OJK's calculations, if the minimum free float provision of 10 percent is applied, as many as 751 issuers have met the requirements as of September 30, 2025.
Meanwhile, there are still 192 issuers who have not complied, with the potential for additional shares to be absorbed by the market reaching around IDR 21 trillion.
If the minimum free float limit is raised to 15 percent, the number of issuers who have met the provisions is recorded as 673 companies.
Meanwhile, 270 other issuers have not met the requirements, with an estimated market funding requirement of Rp203 trillion.
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