The Indonesia Stock Exchange (IDX) expects to see 15 more companies conducting an initial public offering (IPO) in the remainder of the year. The tax amnesty program should bring home trillions of rupiah, part of which finds its way into the local stock market. However, looming tighter monetary policy in the USA remains a challenge. So far this year only ten companies dared to list. Companies’ reluctance to undertake an IPO in Indonesia in recent years was caused by bleak economic indicators of Indonesia (for example the economic slowdown that Indonesia experienced between 2011 and 2015) as well as the highly uncertain global context. Domestic uncertainties, on the other hand, are waning and this should make companies more confident to list on the IDX.
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