00:00Indonesia is promising greater market transparency and stronger corporate governance after a sharp sell-off,
00:07wiped around $80 billion off local stocks.
00:10Chief Economic Minister Ayelanga Hatato says authorities are committed to reform,
00:15while insisting the country's economic fundamentals remain strong.
00:21Proposed changes include raising the minimum free float of shares to 15 percent,
00:26letting pension and insurance funds invest more and scrutinizing small shareholders more closely.
00:33The sell-off came after index provider MSCI warned about ownership and trading transparency,
00:39saying Indonesia could be downgraded to frontier market status.
00:43The Jakarta Composite Index fell more than 8 percent over two days, its steepest drop since April.
00:49The head of the Indonesia Stock Exchange, Ima Rajman, resigned on Friday, taking responsibility for the turmoil.
00:55Investor confidence has also been hit by concerns over President Prabowo Subianto's expansionary fiscal policies
01:02and a greater state role in financial markets.
01:06Confidence was further shaken by the appointment of the president's nephew, Tomas G. Wandono,
01:10to the central bank earlier this month.
01:13The rupiah also fell to a record low of $17,000 against the U.S. dollar last week,
01:18and has remained weak since.
01:20Thanks.
01:30I'm откático.
Comments