Antara News·Indonesia·Monday, September 14, 2026 at 02:07 PM

Markets react calmly to Nazara’s appointment as Finance Minister

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M Baqir, Kuntum Khaira

Jakarta (ANTARA) - Markets have reacted with relatively stable and slightly positive sentiment to Indonesia’s appointment of Suahasil Nazara as finance minister, according to an economist.

Rahma Gafmi, a professor at Airlangga University’s Faculty of Economics and Business, said the transition from Purbaya Yudhi Sadewa to Nazara was seen as signaling policy continuity rather than a major shift in fiscal policy.

“The change in leadership at the Finance Ministry from Purbaya Yudhi Sadewa to Suahasil Nazara has generally been met by markets with relatively stable and slightly positive sentiment, which can be described as reassuring,” Gafmi said in a statement on Monday.

Gafmi said Nazara enjoys a high level of trust among financial markets, institutional investors, and macroeconomic analysts. His previous role as deputy finance minister meant his appointment was viewed as a continuation of existing policies rather than a radical overhaul.

The transition was unlikely to cause a policy shock because Nazara already has a deep understanding of fiscal policy and the workings of the ministry, she said.

“Markets know his track record, communication style and understanding of fiscal discipline very well,” Gafmi said.

She said the main sentiment in the market centered on fiscal certainty and the credibility of the state budget, known as the APBN.

Markets were also reassured by the government’s commitment to maintaining the budget deficit within target and preserving the health of the APBN, she said.

Nazara, a technocrat known for his focus on fiscal discipline, is expected to help maintain Indonesia’s fiscal resilience amid global economic uncertainty, Gafmi added.

His appointment was also welcomed because he is expected to preserve coordination among key financial authorities and investment management agencies.

In remarks after his inauguration, Nazara moved quickly to quell speculation, urging market participants to view the transition as managerial continuity focused on maintaining the credibility of state finances in line with the president’s directives.

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