Indonesia stock index steadies after President Prabowo appoints Suahasil Nazara as finance minister
The Jakarta Composite Index trimmed its earlier 2.5% loss following the swearing-in of Suahasil Nazara as finance minister, closing with a slight 0.10% decline.
President Prabowo Subianto inaugurated Suahasil Nazara as Indonesia's new finance minister, replacing Purbaya Yudhi Sadewa, in a ceremony at the State Palace in Jakarta. The move sparked a rebound in the Jakarta Composite Index, which had slid 2.5% before narrowing its loss to 0.10% by market close. The LQ45 index gained 1.43%, and several sectors posted modest gains, though the health sector dropped 2.15%.
Capital-market analyst Elandry Pratama highlighted Nazara's familiarity with the Finance Ministry as a factor boosting investor confidence, while noting that global trends and commodity prices also influenced the day's trading. Market participants will now watch Nazara's fiscal policy direction, especially regarding budget discipline, debt management and coordination with monetary authorities. Trading volume reached 34.25 billion shares, valued at roughly Rp17.98 trillion.
Why it matters
The finance minister change could shape Indonesia's fiscal policy and affect investor confidence in the country's markets.
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