OJK Boss Wimboh Santoso Calls The Pandemic The Toughest Test Of The Capital Market, The JCI Was 3,900 In March 2020

Chairman of the OJK Board of Commissioners, Wimboh Santoso. (Photo: screenshot of IDX Youtube)

JAKARTA - Chairman of the Board of Commissioners of the Financial Services Authority (OJK) Wimboh Santoso said the COVID-19 pandemic was the toughest test the Indonesian capital market industry had ever faced during its 44 years of existence.

This is reflected in the recapitulation of the Composite Stock Price Index (IHSG) which was depressed well below its fundamental level.

“The COVID-19 pandemic is the biggest challenge for the Indonesian capital market industry and even the world. Reflecting on the conditions in 2020 where the JCI touched the 3,900 level on March 24, 2020," he said at the Virtual Opening Event for the Capital Market Summit & Expo 2021, Thursday, October 14.

However, Wimboh admitted that he now feels relieved because the situation is gradually recovering and the condition of the domestic capital market has approached the pre-pandemic phase.

"We are really grateful that our capital market is rebounding at this time and is moving relatively stable and even recorded several achievements," he said.

Wimboh explained that the collection of funds from the capital market until October 5, 2021 had reached Rp266.8 trillion from 35 new issuers that made public offerings. This achievement exceeds the results obtained throughout 2020 which amounted to Rp. 118 trillion.

In addition, the capital market also recorded growth of investors, especially retail investors with 6.4 million investors until September 2021. That figure shot up 100.5 percent year-on-year.

For information, the JCI movement throughout this year tends to be solid at around the 6,000 level.

The deepest pressure occurred at the beginning of the year when there was negative sentiment due to the increase in daily cases of COVID-19 after Christmas and New Year's momentum with a level of 5,862.

Then, the capital market moved back to the green line of the 6,000s until it experienced a shock in the middle of the year due to the delta variant that hit Indonesia. The lowest point occurred on May 19 with a reading of 5,760.

Now, the latest data shows that the JCI as of October 14, 2021, has skyrocketed to the level of 6,624 or the highest this year.