Government Pushes IDX Reform Toward Corporate Structure

RRI.CO.ID, Jakarta - The government is accelerating the completion of regulations for the demutualization of the Indonesia Stock Exchange (IDX) to enable the process to proceed in 2026. The policy aims to strengthen governance, improve transparency, and reduce potential conflicts of interest in the capital market.

Coordinating Minister for Economic Affairs, Airlangga Hartarto, said the exchange's demutualization is an important structural reform mandated under the Financial Sector Development and Strengthening Law, commonly known as the P2SK Law.

“Demutualization will also open up investment. The stages have already been incorporated into the P2SK Law,” Minister Airlangga said during a press conference in Jakarta on Friday, January 30, 2026, as reported by Antara.

He explained that the reform would transform the IDX from a membership-based self-regulatory organization into a corporate entity, separating the interests of exchange management from those of its members, which currently consist mainly of securities companies.

According to Minister Airlangga, as long as the exchange operates under a membership-based structure, there is a risk that directors and management could be influenced by exchange members with differing interests.

Demutualization, he said, would create a more open ownership structure and strengthen the independence of the exchange’s management.

“If the exchange is demutualized, it means a separation between the exchange management and the exchange members. As investors come in, the exchange will become more independent, especially in taking disciplinary action against those who commit market distortions,” he said.

Demutualization is also expected to create investment opportunities for a wider range of parties, including institutions and other agencies. Minister Airlangga added that at a later stage, the exchange could potentially list its own shares on the stock market.

“This demutualization step can be followed by a public listing at a later stage. The demutualization process will begin this year, and we hope it can be completed swiftly,” he said.

Danantara Indonesia, the country’s sovereign wealth fund, said through its CEO, Rosan Roeslani, that the policy aligns with international practices to strengthen financial market infrastructure.

He said Danantara remains open to demutualization, noting that in many countries, sovereign wealth funds are involved in stock exchange ownership.

Rosan emphasized the strategic importance of strengthening capital market governance, given the significant role of state-owned enterprises on the IDX. Nearly 30 percent of the exchange’s market capitalization, he said, comes from state-owned companies.

“Danantara and other parties have a significant interest because almost 30 percent of the stock exchange’s market capitalization comes from state-owned enterprises. Therefore, transparency and good governance must continue to be upheld,” he said. ***