PT Bursa Efek Indonesia (BEI) suspended trading on Indonesia's main stock market Wednesday morning, after the Composite Stock Price Index plunged 10.38 percent to 1,451.67 points, The Jakarta Post reported.
"The 10 percent decline cued BEI to suspend the market after consulting Bapepam (the Capital Market and Financial Institutions Supervisory Agency)," said acting Finance Minister Sofyan Djalil, adding that the "index drop was not normal."
The Indonesian Jakarta Stock Exchange has seen the benchmark index fall for successive three days after the fast-breaking festival, due to fears about the global financial crisis. It dropped 10 percent and closed at 1,649 points on Monday, and went down 1.8 percent to reach 1,620 points on Tuesday.
Indonesia was one of the countries hardest hit by the East Asian financial crisis in 1997 and 1998, when its currency against U.S. dollars dropped from about Rp. 2,000 to Rp. 18,000, and the economy shrank by 13.7 percent. Thus, the country is sensitive to the recent U.S.-led financial crisis, fearing to see a repetition of the 1997-98 crisis.
Source:Xinhua
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