Stronger Rupiah and Stock Market Reflect Renewed Foreign Investor Confidence, Says Rosan

Indonesia’s benchmark stock index, Jakarta Composite Index (JCI) and the rupiah have posted notable gains in recent days, a development that Chief Executive Officer of Danantara Indonesia, Rosan P. Roeslani, attributes to improving investor sentiment and growing confidence in Indonesia’s economic outlook.

Speaking during a press conference at the Presidential Palace on June 15, 2026, Rosan emphasized that the recent appreciation of both the capital market and the national currency was not the result of chance. Instead, he credited a series of government initiatives and policy measures that have helped strengthen market confidence and improve perceptions among global investors.

According to Rosan, one of the key drivers behind the shift in sentiment was Danantara’s international roadshow conducted as part of preparations for its inaugural global bond issuance. During the campaign, representatives met with 122 institutional investors across major financial centers, including Hong Kong, Singapore, the United Kingdom, and the United States.

The global bond offering reportedly attracted strong interest, particularly from US-based investors, which Rosan described as a positive signal of continued international confidence in Indonesia’s economy and long-term prospects.

He explained that many investors who initially held reservations about Indonesia’s economic direction and policy framework became more optimistic after receiving a clearer understanding of the government’s initiatives and strategic plans.

Rosan noted that market concerns in recent years have been driven more by perception than by weaknesses in economic fundamentals. In his view, Indonesia’s medium- and long-term economic fundamentals remains solid, supported by healthy macroeconomic indicators and strong growth potential.

The improvement in investor perception, he said, has played an important role in supporting recent market performance. Nevertheless, he acknowledged that fluctuations in financial markets remain a normal part of the investment cycle.

Looking ahead, Rosan expressed optimism that positive sentiment toward Indonesia will continue to strengthen as investors gain greater confidence in the country’s economic trajectory.

He also highlighted that many foreign institutional investors focus on long-term opportunities rather than short-term market volatility. Their investment decisions are generally based on economic fundamentals, government policies, and future growth prospects rather than daily market movements.

According to Rosan, Indonesia continues to offer several attractive investment characteristics, including a healthy banking sector, strong dividend yields, favorable returns, and solid economic fundamentals. Combined with recent market corrections, these factors have made Indonesian assets increasingly appealing to global investors.

He added that the market downturn experienced over the past few months has resulted in more attractive valuations across many listed companies. As a result, investors may view current market conditions as an opportunity to enter the Indonesian market at relatively attractive price levels.

With corporate valuations becoming more competitive while underlying fundamentals remain strong, Rosan believes Indonesia continues to present compelling opportunities for long-term investment.

Source: Investor Daily