What Do Market Players Say About the Job Creation Law?

Although it sparked controversy, the passing of the Job Creation Law or Omnibus Law on Job Creation is considered providing a positive sentiment for Indonesia's investment climate. The reason is, the new regulation can provide legal certainty and cut the investment red tape.

A number of global securities and financial institutions, such as CLSA, JP Morgan, CGS CIMB to Moody's predict that there are a number of important points in the Job Creation Law that have a major impact. The issuance of the Job Creation Law will have a positive impact on the capital market and will be reflected in the movement of the Jakarta Composite Index (IHSG). However, there are risks that must be considered regarding the duration of the demonstration against the Omnibus Law on Job Creation. If it drags on, investors will be reluctant to enter Indonesia.