OJK Extends Share Buyback Period Without GMS Approval until June 2027

JAKARTA, JakartaWeekly.com—The Indonesia Financial Services Authority (OJK) has extended the period during which listed companies can conduct share buybacks without approval from a General Meeting of Shareholders (GMS) until June 2027. The extension is in accordance with OJK Regulation (POJK) No. 13 of 2023. 

Hasan Fawzi, OJK’s Chief Executive for Capital Markets, Derivatives Finance, and Carbon Exchanges Supervision, explained that the extension of the buyback period without GMS approval is intended to support stability in stock market trading. 

“This policy gives issuers the flexibility to respond to market dynamics while supporting trading stability and investor confidence,” Hasan said recently. 

Share buybacks must continue to comply with applicable regulations, taking into account the principles of prudence, the company’s financial capacity, and information disclosure obligations. Issuers must also meet minimum free-float requirements and ensure the subsequent re-float of shares acquired through buybacks. 

OJK Strengthens High Shareholding Concentration Mechanism

OJK is also continuing to strengthen capital market stability and integrity by encouraging the Indonesia Stock Exchange (IDX) to improve its high shareholding concentration (HSC) mechanism and stock trading surveillance. 

OJK has urged the IDX to improve the HSC methodology and mechanism by increasing transparency and involving independent parties outside the self-regulatory organization (SRO) structure in a working committee. 

“Strengthening HSC aims to improve the credibility of information on shareholding concentration in listed companies, giving investors and global index providers a more transparent reference for assessing the Indonesian capital market,” Hasan said.

OJK has also encouraged the IDX to strengthen its trading surveillance methodology, including by improving its ability to identify unusual transaction patterns, detect indications of coordinated trading, and enhance follow-up mechanisms for surveillance findings.

Hasan explained that Indonesia’s capital market integrity reform agenda is not a temporary response but a structural commitment that has been consistently pursued since January 2026. He said efforts to strengthen capital market integrity have focused on improving transparency, governance, surveillance quality, and investor protection.

Hasan also emphasized that the success of the capital market recovery should not be measured solely by the level of the stock index, but also by the quality of the recovery, which should be supported by information transparency, corporate fundamentals, and investors’ understanding of investment risks.

OJK is also continuing to strengthen law enforcement against violations of capital market regulations. Throughout 2026, OJK imposed administrative sanctions following case examinations, including fines totaling Rp2.23 trillion against 166 parties, along with 28 written warnings, eight suspensions, six license revocations, one revocation of a Registered Certificate (STTD), 13 prohibitions, and six written orders.

During the same period, OJK also imposed late-reporting fines totaling Rp293.78 billion on 805 parties and issued 464 written warnings. In addition, six capital market cases had proceeded to court, with varying developments in their respective legal proceedings.