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View all search resultsRI’s mineral exchange plan faces positioning, governance tests
President Prabowo Subianto announced that Indonesia will launch the Strategic Minerals and Commodities Exchange (BMKS), set to begin operations on Jan. 1 next year.
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President Prabowo Subianto is displayed on screens as he delivers his annual State of the Nation address ahead of the country's 81st Independence Day anniversary in front of the members of the legislative bodies during the People's Consultative Assembly (MPR) plenary session on Aug. 14 at the Senayan legislative complex in Central Jakarta. (Reuters/Stringer)
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ndonesia's push to launch a Strategic Minerals and Commodities Exchange (BMKS) has sparked debate over whether the country can finally convert its resource wealth into pricing power, with liquidity, governance and product standards emerging as key tests for the planned bourse.
In his address to parliament on the 2027 draft state budget on Aug. 14, President Prabowo Subianto announced that Indonesia will launch the BMKS, set to begin operations on Jan. 1 next year under the supervision of the Financial Services Authority (OJK).
He framed it as the next stage of export policy, arguing prices for Indonesian palm oil, nickel, tin, coal and gold have long been set on overseas exchanges using benchmarks Indonesia did not create.
The stated aim is to build an Indonesia Reference Price for major export commodities and a deeper, more transparent market with less room for manipulation. He asked parliament to pass the enabling rules quickly, implying that implementing rules and scope are not yet defined.
Read also: Indonesia’s rare earth push faces low-content, costly extraction hurdles
President Prabowo noted that for decades Indonesia has been one of the world's leading producers of key commodities, including palm oil, nickel, tin, coal, gold, coffee and rubber.
As the producer of these commodities, he said, Indonesia must have its own trading instruments to secure stronger bargaining power in the global market.
