Stock market performance may have been disastrous round the globe last year, but Indonesia was a happy exception. And if its Jakarta Stock Exchange FTSE Index recorded only 4.9 percent growth, such gains were an enormous advance compared with the 10 percent decline of the Global Index and the 18 percent slide recorded by the Asia Pacific Index.
Partly to blame here was the EU sovereign debt crisis, which affected the Euro Bloc Index, dragging it down by 17.8 percent.
Dividend yields on the Jakarta Stock Exchange (JSE) were not among the highest but then again, investors seemed to find other factors more important. These included the prevailing confidence in the Indonesian stock market, its resilience to international financial turbulence, the positive outlook for economic and political stability.
Add to these factors a business sector that is becoming better organ...