JAKARTA - The Financial Services Authority (OJK) together with PT Bursa Efek Indonesia (BEI) and PT Kustodian Sentral Efek Indonesia (KSEI) have completed four agendas to strengthen the transparency of the Indonesian capital market, which is also part of the proposal that has been submitted to Global Index Providers, including MSCI.
The achievement was conveyed by the Head of Capital Market, Derivatives Finance and Carbon Exchange Supervisory Executive of OJK, Hasan Fawzi, in the socialization of the achievement of the Indonesian Capital Market Transparency Reform held at the BEI Building on Thursday, April 2, with the OJK, the Board of Directors of BEI, and the Board of Directors of KSEI.
Hasan said that the four agendas in question were part of the 8 Action Plans for Accelerating the Reform of the Indonesian Capital Market Integrity which had been announced by OJK together with Self-Regulatory Organizations (SRO) on February 1, 2026.
The four agendas include providing data on the ownership of companies listed above 1 percent to the public; implementation of the High Shareholding Concentration (HSC) announcement; strengthening the granularity of investor classification in KSEI share ownership data, to a total of 39 classifications and investor types; and increasing the minimum free float limit to 15 percent through adjustment of BEI Regulation Number I-A.
In addition, there is an increase in transparency in the form of regulations regarding the availability of data on the Beneficial Owner of the Listed Company's shareholders with a 10 percent or more ownership.
"Thus, the four proposals submitted by the Indonesian party to the Global Index Providers have been completed and completed according to the target set. Furthermore, we will continue to communicate and engage constructively with Global Index Providers, as well as collect feedback from investors," explained Hasan.
Furthermore, Hasan stated that the policy taken by OJK together with SRO in the settlement of the four proposals was in line with standards/practices in various global jurisdictions.
He added that, in some aspects, Indonesia is in a superior position in terms of transparency and granularity of information, including related to the availability of data on the ownership of shareholders above 1 percent.
Hasan said that the completion of these four proposals to strengthen transparency is expected to encourage healthier liquidity and improve the quality of price discovery in the domestic stock market.
According to him, this is ultimately expected to help maintain investor confidence as well as boost the credibility and attractiveness of the Indonesian capital market at the global level.
Implementation of Four Proposals for Reform of Indonesian Capital Market Transparency
As part of accelerating the reform of the integrity of the Indonesian capital market, the IDX has adjusted the Exchange Regulation Number I-A which includes strengthening the free float policy and corporate governance, which has been effectively implemented as of March 31, 2026.
These changes include adjustments to the definition of free float shares, an increase in the minimum free float limit to 15 percent, and more comprehensive regulations regarding the classification and provisions of free float shares, especially in the IPO process.
On the same occasion, Deputy President Director of the Indonesia Stock Exchange Jeffrey Hendrik emphasized that the increase in free float provisions is also part of an effort to align with the best practices of other international exchanges.
"By maintaining the ownership threshold of 5 percent which is in line with global standards, this policy is expected to increase liquidity and investment attractiveness in the Indonesian capital market, both for domestic and global investors," said Jeffrey.
He added that the IDX also encourages the strengthening of governance aspects through increased financial reporting obligations and the development of the capacity of the Board of Directors, Commissioners, and the Audit Committee.
In line with the implementation of this policy, Jeffrey said the IDX has prepared a stage of socialization and assistance to all stakeholders since the implementation of the amendment to the Exchange Regulation number I-A.
According to him, this effort is carried out through various activities such as roadshows, public exposes, capacity building, and the provision of hot desks and continuous assistance to support the readiness of listed companies in meeting the free float provisions and improving the quality of the Indonesian capital market on an ongoing basis.
The implementation of the increase in the free float provision is contained in Bursa Regulation Number I-A concerning the Listing of Shares and Equity-type Securities Other than Shares Issued by Listed Companies which was issued on March 31, 2026. For the smooth implementation, a transition period was also imposed for the fulfillment of the free float provision for Listed Companies.
In addition, he said the IDX also issued a change to the Board of Directors' Decree regarding the Provisions of the Monthly Report on Registration of Share Ownership Activities (SK LBRE) on April 1, 2026.
"This change strengthens the disclosure obligation of information by listed companies to the Exchange, including, among others, the provision of details of share ownership above 5 percent, the affiliation of the Controller with ownership below 5 percent, information on the ownership of shares of Directors and Commissioners, as well as reporting of Beneficial Owners for shareholders with ownership of 10 percent or more," he explained.
In addition, Jeffrey said this SK also regulates the disclosure of restricted employee share ownership, as well as the classification of share ownership based on type and classification of KSEI investors.
The information provided includes, among others, Single Investor Identification (SID), the name and address of the shareholder, the number of shares owned, and the status of the shareholder as a Controller or its affiliation.
As for the Information on the Beneficiary Owner above 10 percent or more, it is not published and is available to interested parties and can only be provided upon request to the Exchange by observing the procedures set by the Exchange.
Meanwhile, for shareholders above 5 percent, all information is published, except data regarding SID because the data is confidential. This Decree takes effect from May 1, 2026 for the submission of LBRE for the period of April 30, 2026.
As part of transparency reforms, Indonesia's capital market adopts global best practices implemented by Hong Kong Exchanges and Clearing (HKEX).
HSC is an announcement to the public regarding the data on share ownership of listed companies that are concentrated in a small number of shareholders. Information related to shares that have indications of HSC will be available on the BEI website (https://www.idx.co.id/id/berita/pengumuman/) with the keyword "High Concentration of Share Ownership".
KSEI President Director Samsul Hidayat stated that the announcement of HSC was made to increase information transparency and investor protection.
In addition, BEI and KSEI also integrate the increase in data granularity as well as classification and investor types.
According to him, this step places the Indonesian capital market on par with global exchanges in the application of more comprehensive transparency and supports the strengthening of investor confidence in the Indonesian capital market.
"KSEI distributes information on share ownership based on the classification and type of investor whose information can be accessed through the IDX website on the announcement page," said Samsul.
There are 39 classifications and types of investors contained in the report, adjusting to the needs of global index providers, with information on stock ownership data without a warrant (scripless).
Update on the Implementation of the Action Plan and Strengthening Law Enforcement in the Capital Market Sector
On this occasion, Hasan also revealed that OJK also continues to encourage the implementation of other Action Plans, especially regarding the initiative to deepen the capital market, both in terms of supply and demand.
In terms of supply, the development of investment products such as the Gold Exchange-Traded Fund (ETF) has been strengthened through the issuance of related regulations, namely POJK Number 2 of 2026 concerning Collective Investment Contract-Based Mutual Funds Whose Participation Units Are Traded on the Stock Exchange With Underlying Assets in the Form of Gold. Currently, the issuance of this instrument is entering the implementation stage with related stakeholders.
Meanwhile, on the demand side, the OJK together with industry players is developing the PINTAR Mutual Fund or Systematic Investment Plan (SIP) program, which is aimed at expanding the retail investor base sustainably.
"All of these initiatives will continue to be monitored through close coordination and collaboration, to ensure the implementation of the 8 Action Plans is consistent and integrated," said Hasan.
In addition, strengthening law enforcement is also the main focus of OJK in improving the integrity of the domestic capital market, namely until March 31, 2026 (ytd), OJK has imposed Administrative Sanctions in the form of fines of IDR 96.33 billion to 233 parties, consisting of fines for cases and fines for delays.
In addition to imposing the fine sanction, OJK also imposed other actions such as written warning sanctions, freezing of permits, revocation of permits, certain actions, and written orders/prohibitions.
Regarding the enforcement of criminal provisions in the capital market sector related to market manipulation, in 2026 (ytd as of March 31) OJK has imposed an Administrative Penalty in the form of a fine of IDR 29.30 billion to 11 parties and a written warning sanction to 1 individual party.
OJK has also imposed administrative sanctions in the form of a Written Warning to 2 individuals for carrying out investment advisory activities without a license.
"This firm and consistent enforcement step is an important part of strengthening market credibility, as well as ensuring discipline and investor confidence in the Indonesian capital market," said Hasan.
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