Prabowo’s Ambitious Vision Collides with Investor Hesitation

Indonesian President Prabowo Subianto's bold attempt to ignite an economic revival is meeting a chilling response from global investors. Despite his grand visions for the nation's financial future, the reality on the ground is stark—investors are not convinced.

Market Turbulence in the Wake of Policy Shifts

Recent sweeping political and economic shifts under Prabowo's leadership have triggered significant turbulence in the market, leading to the steepest decline in Indonesian stocks since 2011. Money managers from major financial hubs—from Melbourne to London—are expressing deep caution, with many holding back from diving into Indonesia's asset market.

Investors Seek Value Amid Uncertainty

Although interviews with 12 leading investment firms reveal that there are indeed some sectors displaying potential value, the overwhelming sentiment is one of wariness. With shifts in policy and uncertainty clouding the investment landscape, firms are hesitant to commit resources, indicating a pervasive lack of incentive to heavily invest in a country still navigating its path forward.