Projection For 2021, Coordinating Minister For Airlangga: IHSG Translates To 7,000 At The End Of The Year

Coordinating Minister for Economic Affairs, Airlangga Hartarto. (Photo: Doc. Setkab)

JAKARTA - Coordinating Minister for Economic Affairs Airlangga Hartarto is optimistic that the composite stock price index or JCI will be in the range of 6,800 to 7,000 by the end of December 2021. This is in line with the projection of positive growth in 2021, both globally and in Indonesia.

Meanwhile, global economic growth in 2021 is estimated to be in the range of 4.2 to 5.2 percent, in line with that the World Bank estimates Indonesia's growth in 2021 at 4.4 percent. Meanwhile, the government projects Indonesia's economic growth in 2021 in the range of 4.5 to 5 percent.

In addition, the capital market has also shown signs of recovery from the impact of COVID-19. In recent weeks, the index has been above the level of 6,000 even though it closed at 5,979 at the close of trading at the Indonesia Stock Exchange (IDX) 2020.

"Optimism is also seen in the capital market in line with the reduction in the risk of uncertainty on the global financial market, reflected in the improving volatility index and credit default swap and the JCI could reach 6,800 or 7,000 by the end of December 2021," he said, at the opening of the IDX 2021 Trading Trade. Monday, January 4th.

Airlangga said that this projection along with the JCI in the last few trades continued to try to penetrate the level before the COVID-19 pandemic period. On December 22, 2020, the JCI had touched the level of 6,165, the highest since March, even though it failed to hold at the level of 6,000 at the end of trading 2020. JCI closed last year's trade at the level of 5,979 and recorded a correction of 5.09 percent over the past year.

The former Minister of Industry admits that he is optimistic that the number of companies carrying out initial public offerings (IPO) this year can reach the target of 30 companies. In fact, according to him, this number could still increase considering the lower target compared to the realization in 2020, namely 51 companies.

Then, he hopes that the amount of funds raised can be far more than 2020, which translates to Rp. 118.7 trillion, given the low yield of Government Securities (SBN).

"The stock exchange is targeting 30 companies to conduct IPOs in 2021 and we hope that the amount of funds will be quite significant, especially since we mentioned that the current SBN is very low, so that this low SBN can encourage more IPOs or seek funds from the capital market," he said.

Today, JCI closed sharply higher to the level of 6,104.90, or rose 2.10 percent. Today's trading volume was recorded at 22.29 million shares with a transaction value of IDR 14.52 trillion.