TEMPO.CO, Jakarta - The Indonesian Stock Exchange (IDX) announced its plan to work with a number of international stock exchanges to improve liquidity and promote the domestic capital market industry.

"There are possibilities of cooperation with the Kuala Lumpur Stock Exchange (KLSE) and the New York Stock Exchange (NYSE)," IDX president director Tito Sulistio said in Jakarta on Wednesday, September 21, 2016.

Tito explained that the IDX is in communications with the KLSE to discuss cross-border transactions expected to boost the frequency of domestic transactions.

"Basically, we're trying to enable cross-border transactions. We will select ten stocks here [at the IDX] and ten others from the KLSE to be traded in respective countries. We're still discussing the technicalities," Tito added.

However, Tito admitted that the IDX is still hampered with regulations in both countries to implement the idea.

"Indeed, the issue lies on the harmonization of regulations, such as the Law on Limited Company. However, everything is still being discussed," Tito explained.

In relation with cooperation with the NYSE, Tito revealed that the IDX with several companies will conduct a comparative study in the United States on September 24 and 25.

"We're going to the US to learn about cross listing. For instance, we will promote PT Telekomunikasi Indonesia (Telkom) to US investors, because many of them are only allowed to invest in their own country. Therefore, we're going to provide them with the opportunity," Tito said.

ANTARA