Parliament Leader Backs State‑Owned Banks’ Share Buybacks

RRI.CO.ID, Jakarta - Share buybacks carried out by banks in the Association of Indonesian State‑Owned Banks (Himbara) are seen as a strategic measure amid pressure in the capital market. The policy reflects confidence in the prospects of national strategic projects with strong fundamentals.

Deputy Speaker of the House of Representatives, Sufmi Dasco Ahmad, said the buybacks were conducted when market valuations were attractive. “When state‑owned enterprises (SOEs) or Himbara conduct buybacks, or when investment institutions and the market see this, it is clearly a highly strategic action,” Dasco said in Jakarta on Thursday, June 11, 2026, as quoted by Antara.

Dasco noted that similar steps could also be taken with shares of national private companies with good prospects. However, all transactions must follow applicable market mechanisms, including strategic transactions with private entities.

“As long as the purchase is conducted through market mechanisms, I see no problem with it. Just go ahead and buy them,” he said.

Dasco’s statement came after the Jakarta Composite Index (JCI) on the Indonesia Stock Exchange (IDX) briefly rose during trading on Tuesday, June 9. The increase was driven by sentiment surrounding the planned buyback of big‑cap SOE shares and Bank Indonesia’s benchmark interest rate (BI‑Rate) hike.

Meanwhile, Infovesta Kapital Advisors research analyst Arjun Ajnawi said shares of Himbara member banks have attracted investors because the buyback plan is expected to boost market confidence in the issuers’ prospects. “Discussions and plans regarding buybacks of big‑cap stocks, such as those of Himbara members, are expected to be the main market sentiment,” he said. ***