Investing Updates: SGX launches Indonesia depository receipts featuring blue-chip listcos

Source:

https://www.businesstimes.com.sg/international/asean/sgx-launches-indonesia-depository-receipts-featuring-blue-chip-listcos

ChatGPT:

The Singapore Exchange (SGX) has launched Singapore Depository Receipts (SDRs) for three Indonesian blue-chip companies — Bank Central Asia, Telkom Indonesia, and Indofood CBP — enabling Singapore investors to trade these Indonesian-listed securities in Singapore dollars through local brokers during SGX hours. Issued by Phillip Securities, these unsponsored SDRs grant investors beneficial ownership of the underlying shares listed on the Indonesia Stock Exchange (IDX) and are part of the Indonesia–Singapore Depository Receipt (DR) Linkage, aimed at strengthening cross-border market connectivity.

SGX CEO Loh Boon Chye described the initiative as a milestone in regional collaboration, following a 2024 partnership with IDX. The linkage aligns with broader Monetary Authority of Singapore (MAS) recommendations to enhance the local equities market.

Retail investors have driven SDR growth, with daily trading turnover reaching S$16 million in September 2025, a 30-fold jump since the product’s launch three years ago. Total assets under management now stand at about S$200 million, reflecting increasing retail participation.

The Indonesian SDRs follow the earlier rollout of Thai and Hong Kong SDRs, expanding SGX’s total SDR listings to 26. SGX plans to add more Indonesian names and expand to other ASEAN markets such as Vietnam by 2026.

SGX’s Serene Cai highlighted that SDRs simplify overseas investing while maintaining regulatory integrity across jurisdictions. Although discussions on a unified ASEAN exchange have slowed, SDRs are viewed as a pragmatic step toward deeper regional capital-market integration.

The three Indonesian firms were chosen for their exposure to domestic growth — banking, telecommunications, and consumer demand — representing Indonesia’s dynamic, reform-driven economy.

Opinion:

Interesting developments.

I hope this boosts our market.