The trading floor of the Indonesia Stock Exchange (IDX). (JP/Wienda Parwitasari)
The Financial Services Authority (OJK) launched a simplification program on Thursday for the opening of stock accounts and accounts for customer funds that could be implemented through an online service.
“With the simplification, we hope that it will take less than two hours or even 30 minutes to open a stock account,” said Indonesia Stock Exchange (IDX) president director Inarno Djajadi on Thursday.
He added that the simplification of the stock account’s opening was in response to complaints by overseas investors as well as those who lived in remote areas about the sluggish process of opening an account, which took two weeks.
“About 30 minutes after filling in the form, the account is opened. The investors can now start transactions. We hope it will be able to increase financial inclusion,” said Inarno, adding that the simplification was also expected to increase the number of investors.
The executive head of OJK’s stock exchange supervision, Hoesen, who officiated the simplification of stock account and accounts for customer funds, said the program was expected to increase inclusion in the stock market without ignoring security aspects.
“The simplification program is expected also to help increase the number of domestic investors on the stock exchange through an online service, which was helped by the effect firm that is expected to lead to a resilient and liquid stock exchange,” he added as quoted by kontan.co.id.
Hoesen said the introduction of the simplification in opening the accounts was expected to expand the reach-out of effect firms to customers because the majority of stock exchange investors lived in large cities.
The new program was enacted under OJK Circular No. 6/SEOJK on the guidance for the opening of stock accounts and the accounts for customer funds through electronic arrangements provided by effect firms that conduct brokerage service. (bbn)