ID :
23492
Thu, 10/09/2008 - 15:02
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http://m.oananews.org//node/23492
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INDONESIAN STOCKS MARKET SUSPENSION RESUMES UNTIL THURSDAY
Jakarta, Oct 9 (ANTARA) - The Capital Market - Financial Institutions Supervisory Board (Bapepam-LK) has decided to resume until Thursday the temporary suspension of the Indonesian Stocks Exchange (BEI), a Bapepam-LK executive said.
"The suspension is extended to one more day in order to give all stocks authorities, investors and issuers a chance to learn the market situation so that they would not be influenced without clear reasons," acting chief of Bapepam-LK Darmin Nasution said.
He made the remarks after holding a meeting to consider extension of the temporary suspension of the stock exchange at the office of the Directorate General of Customs and Excise at the wee hours here on Thursday.
Darmin who is also director general of taxation said that the decision would be stated in an official letter of the BEI.
He said that Bapepam-LK also asked stocks companies to continue carrying out settlement transactions among them despite the temporary stocks market suspension.
Bapepam-LK would also revise a regulation on the share buy-back program in the stock market in an effort to increase market's liquidity.
"The buy-back regulation will be slackened, for example, a buy-back plan could be carried out without the need to pass through a shareholders' general meeting. Its percentage restriction on the number of shares that could bought back will also be revised. A cooling fund is also likely to be formed," Darmin said.
In the meantime, BEI President Director Erry Firmansyah who was also present at the meeting, said that his side would revise a number of regulations in an effort to provide spacious rooms for business makers to carry out better transactions.
On the plan to set up a cooling fund, Erry said that it still needed further discussions. It would allow any parties such as issuers and publicly listed state-owned companies (BUMNs) to inject funds so that the stocks market would be attractive.
Head of Bapepam-LK's Bureau of Law and Legislation Robinson Simbolon said meanwhile that his side would revise and slacken a number of regulations on stocks market.
He said that the 10-percent restriction of shares that could bought back was likely to be revised and its percentage be increased. But he did not mention the percentage of the increase.
On Wednesday, October 8, trading at the BEI was temporarily suspended because the composite index price tumbled 10.38 percent, or 168.052 points to 1,451.669.
Fueled by the impact of the United States and European financial crisis, the composite index recorded the lowest level since September 2006.
"The suspension is extended to one more day in order to give all stocks authorities, investors and issuers a chance to learn the market situation so that they would not be influenced without clear reasons," acting chief of Bapepam-LK Darmin Nasution said.
He made the remarks after holding a meeting to consider extension of the temporary suspension of the stock exchange at the office of the Directorate General of Customs and Excise at the wee hours here on Thursday.
Darmin who is also director general of taxation said that the decision would be stated in an official letter of the BEI.
He said that Bapepam-LK also asked stocks companies to continue carrying out settlement transactions among them despite the temporary stocks market suspension.
Bapepam-LK would also revise a regulation on the share buy-back program in the stock market in an effort to increase market's liquidity.
"The buy-back regulation will be slackened, for example, a buy-back plan could be carried out without the need to pass through a shareholders' general meeting. Its percentage restriction on the number of shares that could bought back will also be revised. A cooling fund is also likely to be formed," Darmin said.
In the meantime, BEI President Director Erry Firmansyah who was also present at the meeting, said that his side would revise a number of regulations in an effort to provide spacious rooms for business makers to carry out better transactions.
On the plan to set up a cooling fund, Erry said that it still needed further discussions. It would allow any parties such as issuers and publicly listed state-owned companies (BUMNs) to inject funds so that the stocks market would be attractive.
Head of Bapepam-LK's Bureau of Law and Legislation Robinson Simbolon said meanwhile that his side would revise and slacken a number of regulations on stocks market.
He said that the 10-percent restriction of shares that could bought back was likely to be revised and its percentage be increased. But he did not mention the percentage of the increase.
On Wednesday, October 8, trading at the BEI was temporarily suspended because the composite index price tumbled 10.38 percent, or 168.052 points to 1,451.669.
Fueled by the impact of the United States and European financial crisis, the composite index recorded the lowest level since September 2006.
