January 20, 2026 | 03:50 pm
TEMPO.CO, Jakarta - Indonesia's Minister of Finance, Purbaya Yudhi Sadewa, said foreign investments influenced the strengthening of IDX Composite Index (IHSG). "In the last three months, the foreign capital inflow has been positive," said Purbaya at the parliament complex on Monday, January 19, 2026.
According to Purbaya, IHSG saw a surge because investors have seen the economic perspective and reviewed government policies. "IHSG surges not because of foolish market players. These people are intelligent," he said.
On Monday afternoon, January 19, 2026, IHSG closed at an all-time-high (ATH) record at 9,133.87, while Rupiah weakened to Rp16,955 per US dollar.
Purbaya said IHSG's gains indicate foreign fund inflow, since he deemed it impossible for the IDX Composite to be propped up solely by domestic investors.
The minister is confident that the exchange rate of the rupiah will strengthen over time. "So, we just have to wait for the rupiah to strengthen as well," he said.
According to Purbaya, rupiah's movement hinges on economic fundamentals. To maintain the economic foundation, he will ensure that the liquidity of the financial system is sufficient, and that the government spending in early 2026 is sped up to stimulate real sector.
He also pledged to remove obstacles for entrepreneurs. “We will enhance supply, demand, investment, monetary policy, and fiscal policy. We will implement everything,” he said.
With these measures, Purbaya remains optimistic that Indonesia can achieve its economic growth target of 6 percent for 2026.
Read: Indonesia's Purbaya Confident Rupiah Will Regain Strength Over Time
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