JP Morgan Sees Steady Investor Confidence as Prabowo Moves to Bolster Economy
Key Takeaways
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JAKARTA, Investortrust.id — JP Morgan Indonesia has affirmed that global investors remain confident in the country’s economic outlook despite recent street protests, while President Prabowo Subianto has led a cabinet meeting to strengthen stimulus and safeguard stability.
Gioshia Ralie, Chief Executive Officer and Senior Country Officer of J.P. Morgan Indonesia, said on Thursday, Sept 4, 2025, that investors from the United States, United Kingdom, Hong Kong, and Canada continued to actively trade in Indonesia, underscoring trust in the government’s response to the demonstrations.
“I think investors are mature enough and understand what is happening both in Indonesia and abroad. Thailand and Malaysia also had protests. The question is whether these protests are sustainable or not. Thankfully, until today protests remain but are more orderly,” he said at JP Morgan’s Economic and Stock Market Outlook 2025 briefing in Jakarta.
Ralie highlighted that swift and measured actions by the government helped maintain positive investor perceptions. JP Morgan Indonesia has continued to operate at full capacity, processing foreign exchange transactions worth $1.3 billion daily, corporate cash settlements totaling $22 billion, equity trades of $100 million, and bond market activity of up to $90 million each day.
“JP Morgan remains on the ground, giving positive input to stakeholders across Asia. The government has been effective in calming the situation, roads are back to normal, and investors are reassured,” he added. Ralie further noted that anti-corruption measures and bureaucratic reforms will be essential for sustaining long-term investment.
Economic Stimulus
Later the same day, President Prabowo convened a limited cabinet meeting at the Merdeka Palace to review macroeconomic conditions and reinforce protection programs.
Coordinating Minister for Economic Affairs Airlangga Hartarto said the rupiah hovered around Rp 16,400 per US dollar and stock markets had rebounded after minor corrections. He stressed that the government would extend stimulus programs to preserve purchasing power and jobs.
“The President emphasized the need to expand programs such as wage subsidies for workers earning below Rp 10 million, labor-intensive public works, tax exemptions in selected sectors, and housing support,” Airlangga told reporters after the meeting.
He also confirmed that job protection facilities would remain available to contract workers and that deregulation in several industries, especially in Java, was projected to generate over 100,000 new jobs.
Inflation was reported at 2.31% year on year, with a deflation recorded the previous month. “Inflation is relatively stable and under control,” Airlangga said.
Both the reassurance from JP Morgan and the government’s economic measures signal that Indonesia is working to maintain market confidence while protecting its workforce amid social and political pressures.
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