Slide1: Policies, Initiatives, Incentives and Investment Opportunities in Financial Sector in Indonesia Kuala Lumpur, October 30 – November 1 2007


Slide2: Two main regulator and supervisory body in financial sector in Indonesia Bank Indonesia as Central Bank; It’s legal basis is act number 3 year 2004 titled Bank Indonesia Capital Market Supervisory Agency and Financial Institution This institution are divide into two bodies. They are: Capital Market Supervisory Agency which has legal basis on act number 8 year 1995 titled Capital Market.


Slide3: Two main regulatory and supervisory body (continued)……. Financial Institution Supervisory Body, which can be divided into: Credit and Guarantee Company Supervisory; Insurance Industry Supervisory; Pension Fund Supervisory. In this opportunity I will focus on capital market…..


Slide4: Indonesian Capital Markets and NBFIs PROFILE Capital Markets (as of December 2006): -444 stocks issuers with total value of issuance at Rp 281 trillion (8.42% of GDP) 162 bond issuers with total value of issuance at Rp 98 trillion (2.95% of GDP) 343 listed companies at Jakarta Stock Exchange with market cap reached Rp 1249 trillion (37.42% of GDP) 110 Investment Managers and 403 Mutual Funds with NAV of Rp 51.62 trillion (1.55% of GDP) 164 Securities Firms Average Daily Trading Value at JSX is Rp 1.84 trillion/day 157 Insurance Companies (December 2006): -Assets = Rp 150.36 trillion (4.50% of GDP) -Investment = Rp 132.27 trillion (3.96% of GDP) -Gross Premium = Rp 15.93 trillion (0.47% of GDP) 307 Pension Funds (December 2006): -Net Assets = Rp 77.13 trillion (2.31% of GDP) -Investment = Rp 74.42 trillion (2.23% of GDP) Finance Companies and Venture Capital (December 2006): -195 Finance Companies with total assets of Rp 108.89 trillion (3.26% of GDP) -63 Venture Capital Companies and 15.537 Partner Companies with total assets of Rp 2.3 trillion (0.07% of GDP) Notes: GDP December 2006 = Rp 3,338.2 trillion.


Initiative in developing capital market in Indonesia: Initiative in developing capital market in Indonesia


Initiative in developing capital market in Indonesia : Initiative in developing capital market in Indonesia


Developing secondary bond market : Developing secondary bond market


Developing Investor Base and Product Alternatif: Developing Investor Base and Product Alternatif


Capital Market Important Data in Indonesia: Capital Market Important Data in Indonesia


Slide10: Capital Market Indicator As of Per December 2005, 2006, dan 8 October 2007 Base on GDP Nominal Year 2006 * Dated on 5 October 2007 Sources: Bapapem-LK, Bloomberg, dan BEJ


Slide11: Jakarta Stock Exchange Share Index 2 January 2007– 8 October 2007 On October, 8 2007, JSX Share Price Index pointed 2.523,701 which recorded as the highest share price index in Indonesia Generally, since the early 2007 until October, 8 2007 (year to date), Market Price Index grow 39,78%. This achievement is because the recovery of macro economic indicator and foreign capital inflow which invest in capital market particularly in emerging market, include Indonesia


JSX Market Price Index Sectorally up to October, 8 2007: JSX Market Price Index Sectorally up to October, 8 2007


Slide13: Foreign Investment in Capital Market Base on Origin Country ( in Rupiah) October 3, 2007 Sources: KSEI


Slide14: THANK YOU