Indonesia Finance Minister Calls IDX Chief’s Resignation a ‘Positive Signal’ to Markets

Indonesia’s finance minister on Friday welcomed the resignation of the Indonesia Stock Exchange (IDX) chief, calling it a necessary step to restore credibility after a sharp market correction.

FinanceMinister Purbaya Yudhi Sadewa . Photo: Instagram/menkeuri

JAKARTA — The remarks came hours after IDX President Director Iman Rachman stepped down, citing personal responsibility for recent turbulence in the Jakarta Composite Index (JCI). Finance Minister Purbaya Yudhi Sadewa framed the move as a sign of executive accountability rather than institutional crisis.

“I see this as a positive signal and a form of responsibility for the issues that arose at the exchange yesterday,” Purbaya told reporters.

He linked the market volatility to what he described as a failure by exchange leadership to adequately respond to inquiries from MSCI, the global index provider.

“There was an impression of a fatal oversight … which led to a deep correction,” he said.

Purbaya stressed that swift action was needed to prevent market instability from spilling into the broader economy, noting that the government had been working to maintain macroeconomic stability.

“Those who were hesitant should now feel more confident that the future direction is better,” he added. “For those who understand the market, this is a clear ‘buy’ signal.”

The JCI showed signs of stabilizing as investors digested the developments. Analysts say the minister’s public backing of the resignation sends a signal to global index providers and credit agencies that Jakarta remains committed to governance standards and rapid corrective action.