TEMPO.CO, Jakarta - Nurhaida, a member of the Financial Services Authority board of commissioners said that attempts to increase the number of share issuers in 2017 will depend on global economic condition. Nurhaida said that it cannot be denied that Indonesia's capital market performance is highly affected by global sentiments, such as the fluctuation of The Federal Reserves' (The Fed) interest rate.
"If the Fed's Fund Rate increases, it will immediately affect the [stock exchange]. For instance, if the stock exchange predicts a decline [of the Fed's Fund Rate], companies that had planned an [initial public offering] would decide to wait and see," Nurhaida said on Tuesday, November 29, 2016.
According to Nurhaida, based on predictions made by the World Bank and the International Monetary Fund, the Indonesian economy will certainly improve.
Nurhaida also applauded the Indonesian Stock Exchange for recording the highest transaction value reaching up to Rp 140 trillion in total. The number was the highest value ever recorded snce the first establishment of the Indonesian Stock Exchange. "Last year the value was Rp 102 trillion," Nurhaida said.
DESTRIANITA