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Capital Market to Support Economic Recovery

The capital market is expected to support economic recovery this year. However, investors should remain prudent as market conditions remain volatile.

Dimas Waraditya Nugraha/Karina Isna Irawan
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Coordinating Minister for the Economy Airlangga Hartarto (two left), with (left-right) Chief Executive Officer of the Capital Market Financial Services Authority (OJK) Hoesen, Chairman of the OJK Board of Commissioners Wimboh Santoso, President Director of the Indonesia Stock Exchange (IDX) Inarno Djajadi at the inauguration of the closing trade Indonesia Stock Exchange 2020 in Jakarta, Wednesday (30/12/2020).

JAKARTA, KOMPAS - Throughout 2021, the capital market is expected to play an important role in economic recovery, especially as a source of funds for corporations and micro, small and medium enterprises (MSMEs). In addition, the development of Covid-19 vaccines in various parts of the world has also brought positive sentiment for the stock market since earlier this year.

However, the sustainability of the positive sentiment for the Covid-19 vaccine is largely determined by its effectiveness and future development. Therefore, the stock market in 2021 is expected to move into a stage of skepticism or between skepticism and pessimism.

Syahnan Rangkuti