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Financial Service Authority (OJK): Economic Growth Affects Investors’ Trust and Confidence
20/2/19 - by Astrid, Photo: Republika

Capital Market Monitoring Chief Executive of Financial Service Authority (OJK), Hoesen, stated that current economy growth affects the investors’ trust and confidence to invest in the capital market. Economic growth will automatically push the market to gain trust on the domestic condition. Hoesen explains that economic growth substantially affects domestic investors’ ability to stay in the market. That will also include new public companies to be listed in the capital market.

Based on data from Bureau of Statistics Indonesia (BPS), Indonesia economic growth in the year of 2018 reached 5.17%. This figure is one of the highest results of Indonesia since 2014.

Hoesen said that according to the analysts, there are two parameters in the improvement of capital market. First, the improvement in the macroeconomics and second the increase of net income from the public companies.

Previously, Chief Commissioner of OJK, Wimboh Santoso, predicted that global pressure in 2019 will not be as severe as that of 2018. Therefore, investors will stay optimistic to invest in the domestic market, including into the capital market.

 

Sources:

www.liputan6.com

www.merdeka.com