Indonesia Stock Exchange and Shariah Economic Community Launch Index Called IDX-MES BUMN 17

On the 29th of April 2021, the Indonesia Stock Exchange (IDX) together with the Shariah Economic Community (MES) launched an index called IDX-MES BUMN 17. This index measures the performance of 17 shares of state-owned enterprises (BUMN) and their affiliates. It is expected that the index would propagate Shariah principles along with healthy liquidity, large market capitalisation and solid corporate fundamentals.

Why it Matters?

At the moment, there are only three Islamic-themed indices in Indonesia. This addition is a welcome initiative given the rise in Indonesian investors in Shariah and BUMN stocks, stated President Director of the IDX, Inarno Djajadi. The IDX expects the growing number of Islamic-themed indices to increase the market share and growt...