Chairman of the National Economic Council (DEN) Luhut Binsar Pandjaitan urged investors in the Indonesia Stock Exchange (IDX) to remain calm and avoid panic in response to recent volatility in the Composite Stock Price Index (JCI). At the opening of trading on Monday (February 2, 2026), the JCI slipped 0.28% to 8,306.16, extending pressure that has persisted since last week following MSCI’s scrutiny over investor data transparency and plans to raise the free float threshold.

Luhut emphasized that MSCI’s warning should not be viewed as a cause for alarm, but rather as an honest assessment of areas requiring improvement. He described the situation as an opportunity to strengthen a credible capital market that earns investor trust through robust systems, not short-term speculation.

He also called on the public and investors, particularly domestic participants, to stay composed and not be swayed by short-term sentiment. According to Luhut, the government, together with the Financial Services Authority (OJK), the IDX, and other relevant institutions, will tighten market supervision, monitor unusual transactions, enforce rules against manipulation, and enhance market communication to ensure investor protection and market stability.

After extensive discussions and consideration of various inputs, DEN expressed support for the reform measures announced by the government, OJK, and the IDX. These include strengthening disclosure requirements for ultimate beneficial ownership (UBO) with strict verification and sanctions, gradually increasing the minimum free float requirement to 15% through a clear roadmap, accelerating the demutualization of the IDX to improve governance and independence, and expanding equity investment limits for pension funds and insurance companies to 20% while maintaining prudent risk management.

The resignation of IDX directors and several senior OJK officials is also seen as a strategic opportunity to refresh leadership through transparent, merit-based selection processes. Luhut further encouraged the adoption of artificial intelligence in market surveillance to enable faster and more accurate detection of price anomalies and suspicious trading patterns.

He concluded that capital market reform is part of a broader economic reform agenda encompassing the real sector, industrial policy, and institutional restructuring. The government, alongside OJK and the IDX, pledged to provide regular updates on policy implementation and maintain open dialogue with market participants to build a modern, transparent, credible, and fair Indonesian capital market for the wider public.