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Investor Presentaiton

Spotlight on: IDX Market Capitalisation Surviving challenging periods 2015: Market Turbulence Inflation, high interest rates, declining exports, slow down in the Chinese economy marked by Yuan devaluation and the collapse of oil prices triggered the downward slope in both the national and global economies. In 2015, the Indonesian rupiah plunged at a level not seen since 1998. The Indonesian economy slowly picked up in H2 2015 and grew further. Growth was supported by a sound level of economic stability marked by low inflation, decline in the current account deficit, stable exchange rate, and well-maintained financial system stability with low systemic risks. 2018: US and China Trade Tension The escalating trade tension between the United States (US) and China resulted in the US Federal Reserve's decision to raise its benchmark interest rate 4X during the 2018, a total of 100 basis points. This situation impacted emerging economies, including Indonesia. The negative sentiment from international investors was felt in weakening of the Rupiah and the drop in the Jakarta Composite Index. Amidst the trade tension, Indonesia managed to grow by minimising risks and optimising benefits. PwC In Rp trillion 11,000 10,000 9,000 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 Market Capitalisation 2015 - Q3 2023 The market capitalisation of IDX has grown more than 50% from 2015 Jan-15 Jun-15 Nov-15 Apr-16 Sep-16 Feb-17 Jul-17 Dec-17 2020 - Covid-19 Pandemic May-18 Oct-18 Mar-19 Aug-19 Jan-20 Jun-20 Nov-20 Apr-21 Sep-21 Feb-22 Jul-22 Dec-22 May-23 Source: World Federation of Exchanges Not long after the WHO declared COVID-19 as a pandemic in March 2020, the global economy started to nosedive, leading to one of the worst crisis since World War II. As outlined in the January 2021 edition of the World Economic Outlook, the IMF estimated that global economic growth in 2020 contracted -3.5%. The global contraction included a -4.9% for developed countries and a -2.4% for developing countries with emerging markets, including Southeast Asia. Keeping the growth momentum 2021-2022: Road to Recovery Global and domestic economic conditions were gradually recovering from the 2020 crisis. The approval of the Omnibus law, tax reforms, the introduction of IDX Acceleration Board and harnessing the technology start up boom that started in 2020 all helped spur investments. The Indonesian Capital Market showed an uptick in IPO activities. H2 2021 produced blockbuster IPOs of Bukalapak (IPO proceeds of Rp 21,900 billion) and Mitratel (IPO proceeds of Rp 18,794 billion). The momentum continued in April 2022 when Indonesia's biggest technology company GoTo Group staged its public debut raising IPO proceeds of Rp 13,272 billion. 2023: Start of the Renewable Energy Era A new trend has emerged - green transition themed entities (that is, those involved in batteries for electric vehicles and renewable energy). Indonesia holds the world's largest nickel reserve with up to 25% global share, making the country the most attractive market destination for investors. The country also aspires to be a global EV supply chain hub. There were sizable IPOs from the renewable energy and metals/minerals sector. 2023 could be the best year for the Indonesian Stock Exchange. 5
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