INDONESIAN

FINANCIAL MARKET
Silviana Mar’atu Shalikhah
Gymnastiara
 What is a Financial Market?

Financial Market is part of the financial system

related to trading activities, lending and
borrowing, or short-term funding of up to 1 (one)
year in rupiah and foreign currencies, which plays
a role in the transmission of monetary policy,
achieving financial system stability, and smooth
operation payment system.
Certification
Treasury and
Application Financial market development needs to be balanced with the
Code establishment of a credible financial market through efforts to
increase the competence and integrity of Market Participants.
Ethics The increase in competence and integrity can be realized by
Market requiring Market Participants to ensure that the Board of
Directors and their Employees have Treasury Certificates in
accordance with the form of Market Participants and level of
position, as well as ensuring the application of the Market Code
of Ethics and becoming members of the treasury professional
association.
Market Code of Conduct

The Market Code of Ethics is a professional moral norm

regarding actions to be taken and what to avoid and serves as
a guide for behavior in the Money Market and Foreign
Exchange Market and their derivatives.
By adopting the Market Code of Conduct, market participants
gain benefits including:

• I​mprove the implementation of the code of ethics in

treasury activities in accordance with international best
market practice.
• Informing domestic and foreign stakeholders and investors
that the institution has a commitment to implement the
market code of ethics, so that stakeholders will benefit
positively from this commitment.
• Provide competitive advantage for Market Participants in
terms of effectiveness and conduct in transactions.
• Support the implementation of Indonesia's financial market
development policies through efforts to create transparent,
effective, and resilient financial markets.​
A deep, liquid and efficient money market has a
strategic function in supporting the transmission of
Certificate of
monetary policy, macroprudential, financial system Deposit
stability, smooth payment system and rupiah
money management. In order to develop the
Transactions
Money Market, it is necessary to develop Money on the Financial Market
Market instruments that can be transacted by
Money Market players, one of which is Certificates
of Deposit which are transacted in the Money
Market.
From a macroeconomic perspective, the liquid
Certificate of Deposit market will support the
transmission of monetary policy through the
creation of a longer term structure for Money
Market interest rates. From a microeconomic
perspective, a liquid Certificate of Deposit market
will support improvements in the banking funding
structure through a longer funding period and the
potential for additional third party funds.
 Commercial Securities are securities issued by Non-Bank
Corporations in the form of promissory notes and have a
maturity of up to 1 (one) year registered with Bank Indonesia.
By issuing Commercial Securities, Non-Bank Corporations have
alternative funding or short-term liquidity management. The
addition of these alternatives is expected to encourage
increased efficiency in financing the national economy.

Commercial Securities must meet the following requirements:

Commercial
Securities 1. publisher criteria requirements;
2. instrument criteria requirements; and
3. requirements regarding information disclosure.
Furthermore, Money Market Supporting Institutions conducting
activities related to Commercial Securities must be registered with Bank
Indonesia. The Money Market Supporting Institutions are divided into 3
(three), namely:

1. Supporting Institutions for Commercial Paper Issuance;

2. Supporting Institutions for Commercial Securities Transactions; and
3. Supporting Institutions for Administration
and Settlement of Commercial Securities
Transactions.
One of the mandates given to FK-PPPK is to formulate the National
Strategy for Financial Market Development and Deepening (SN-PPPK).
SN-PPPK is a comprehensive and measurable single policy framework
directed at realizing the vision of creating a deep, liquid, efficient,
inclusive and secure financial market. National Strategy for Financial
Market Development and Deepening (SN-PPPK) National Strategy for
Financial Market Development and Deepening (SN-PPPK)

FK-PPPK develops a framework using a top-down approach that

includes three main pillars. The three pillars are:
• ​Source of economic financing and risk management.
• Market infrastructure development.
• Policy coordination, harmonization of regulations, and National Strategy
education.
The three pillars are elaborated into seven development elements that for
will be implemented in seven financial markets, namely
• the government • stock market Financial Market
bond market
• corporate bond
• structured product
market
Development and
market, • Islamic financial Deepening (SN-
• money market market
• foreign exchange PPPK)
market
Pemerintah mengatakan saat ini kondisi pasar keuangan sudah mulai membaik setelah sempat memburuk akibat dari
penyebaran Covid-19 di kuartal pertama dan dua lalu.
Direktur Jenderal Pengelolaan Pembiayaan dan Risiko Kementerian Keuangan Luky Alfirman mengatakan kondisi pasar keuangan
yang sempat bergejolak membuat tingginya arus modal keluar pada Februari dan Maret dari pasar negara berkembang karena
kekhawatiran investor global.
Stimulus moneter telah memberikan dampak positif pada perbaikan pasar keuangan global, sementara untuk stimulus fiskal
kepada sektor riil masih membutuhkan waktu untuk menghasilkan dampak positif.
walaupun mulai membaik, namun pasar keuangan global masih dalam kondisi yang diliputi ketidakpastian dan volatilitas.
Tren perbaikan di pasar keuangan terus berlangsung dengan membaiknya imbal hasil (yield) surat berharga negara (SUN) 10
tahun yang sempat berada di posisi 7,03 persen pada awal tahun yang kemudian melonjak menjadi 8,4 persen pada April lalu.
Saat ini, Yield SUN 10 tahun sudah berada di posisi 6,79 persen.
Selain itu, yield obligasi pemerintah Amerika Serikat 10 tahun juga terus membaik 17,4 persen secara year to date.
Kondisi pasar keuangan yang membaik juga berdampak pada nilai tukar rupiah, meskipun masih mengalami depresiasi, namun
persentasenya hanya 5,24 persen dan tidak terlalu buruk.
Risiko credit default swap (CDS) juga mulai membaik ke posisi 112,9 basis poin, setelah sempat melonjak ke posisi 292,3 basis
poin dari sebelumnya 60-70 basis poin pada Maret lalu.
THANK
YOU