IDX likely to reopen trading on Monday

The Jakarta Post | Fri, 10/10/2008 6:33 PM | Business

The Indonesia Stock Exchange (IDX) is likely to resume trading activities Monday after the government finalizes the necessary regulatory infrastructure, the bourse's chief said.

"We will see (how things develop). God Willing, we will reopen the market Monday. The government is preparing all needed infrastructure today (Friday)," BEI President Director Erry Firmansyah said after attending a meeting with the finance minister here Friday, Antara news agency reported.

The government is moving to intervene in stock trading by revising a regulation on buybacks. Listed companies will be allowed to buy back shares without approval from shareholders during crises and that the minimum 25 percent share buyback will be raised.

A meeting is currently underway to pass the revision at the Finance Ministry office, attended by officials from the Finance Ministry, the Capital Market and Financial Institutions Regulatory Body (Bapepam-LK).

Earlier on Wednesday, State Minister for State Enterprises Sofyan Djalil told listed state firms to buy back their shares to avoid deeper corrections. This week saw the IDX composite index tumble 21 percent, which led to the Wednesday suspension.

Earlier, Firmansyah said stock market trading was suspended on Wednesday and Thursday to give a chance to market players to collect factual information.

"In doing so, they (investors) can take appropriate decisions on their portfolio investments," he said. (and)

Comments (0) | Post comment

A | A | A |