APSN Banner

Allegations of election fraud may dampen investor interest in Indonesia, says observer

Tempo - February 22, 2024

Defara Dhanya, Michelle Gabriela and Adil Al Hasan, Jakarta – Capital market observer William Hartanto expressed concern that the allegations of fraud in the 2024 elections could potentially hamper the interest of investors and entrepreneurs in Indonesia. He believed that if there are any demonstrations related to the issue, the interest may decline.

According to William, the market tends to focus more on the conditions and situation on the field rather than the figure who will be the winner of the election.

"If we look at the market response, it's not really about who the winner is, but what the conditions of the presidential election are," William told Tempo on Thursday, February 22.

Meanwhile, in terms of who will be elected, William said that the election will not have a significant impact on investors.

"It's just a momentary sentiment. Similar to what happened when Erick Thohir was elected as SOE Minister, it caused the shares [of Erick's companies and SOEs] to rise," he said, adding that the same thing also happened when Sandiaga Uno was elected as Minister of Tourism and Creative Economy.

"What market players will see is the minister's impact on the issuer's performance," he said.

To date, the presidential and vice presidential candidate pair number two, Prabowo Subianto and Gibran Rakabuming Raka, lead the election. Based on the General Election Commission (KPU) real count, as of 7 am on February 22, the pair received 58.88 percent of the national vote, while rivals Anies-Muhaimin had 24.09 percent and Ganjar-Mahfud MD had 17.03 percent.

Numerous parties suspected that there was a lot of fraud in this presidential election that benefited the Prabowo-Gibran pair.

Source: https://en.tempo.co/read/1836506/allegations-of-election-fraud-may-dampen-investor-interest-in-indonesia-says-observe