Indonesia's Finance Minister Sets Clear Mandate for New BEI Directors

Strong Stance Against Stock Manipulation

Finance Minister Purbaya Yudhi Sadewa has issued a clear directive to the incoming Board of Directors of the Indonesia Stock Exchange (BEI), emphasizing that their primary task is to clean up stock manipulation practices in the capital market ¹

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Source 2

https://finance.detik.com/bursa-dan-valas/d-8288718/purbaya-minta-bos-bursa-efek-indonesia-sikat-penggoreng-saham

. The minister stressed that the new leadership must demonstrate a strong commitment to market integrity, develop both retail and institutional investors, and most importantly, eradicate irresponsible stock manipulators ¹

Source 1

https://investasi.kontan.co.id/news/purbaya-sebut-kriteria-direksi-bei-baru-bisa-berantas-saham-gorengan

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Conditions for Market Incentives

Purbaya made it clear that any discussion about providing incentives to the capital market, as requested by BEI, will be contingent upon their success in addressing stock manipulation issues. The minister questioned the performance of the current BEI leadership, asking, "What are their achievements? How many stock manipulators have they caught?" ²

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Source 3

https://finance.detik.com/bursa-dan-valas/d-8288765/bei-minta-insentif-purbaya-berapa-pemain-saham-gorengan-ditangkap

. This indicates that the government is linking potential future support for the market to tangible actions against market abuses.

Market Development Expectations

The minister outlined three key expectations for the new BEI leadership: understanding the market dynamics, developing both retail and institutional investor bases, and maintaining a strong commitment to market integrity ¹

. These expectations come as the current BEI directors' term is set to expire in 2026, with the new appointments typically announced through the Annual General Meeting of Shareholders following OJK approval ²

Source 2

https://finance.detik.com/bursa-dan-valas/d-8288718/purbaya-minta-bos-bursa-efek-indonesia-sikat-penggoreng-saham

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Implications for Capital Market Development

The government's stance signals a tougher regulatory environment for stock manipulation practices. By linking potential incentives to concrete actions against market abuse, the government is creating a performance-based framework for BEI's new leadership. This approach is expected to enhance market integrity and potentially boost investor confidence in Indonesia's capital market.