Lombard loans on the IDX.
Private, securities-backed credit against Indonesia Stock Exchange-listed shares — pledged, not sold.
A Lombard loan against IDX-listed shares is credit secured by a pledge of equity listed on the Indonesia Stock Exchange (Bursa Efek Indonesia). The holder pledges the shares, draws cash against a fraction of their market value, retains ownership and dividends subject to structuring, and recovers the position on repayment. In plainer terms it is a share-backed loan: a loan against shares, not a disposal of them.
- Facilities are arranged against equity listed on the Indonesia Stock Exchange (Bursa Efek Indonesia, IDX), Jakarta.
- The pledge preserves ownership, dividends, and the upside for the holder.
- Loan-to-value is set per line; funded in IDR or cross-currency.
- Structured under the OJK regime, with disclosure at 5%.
The venue
The Indonesia Stock Exchange is the principal Indonesian equity venue. Its index is concentrated in banking, telecoms, and natural-resources issuers; foreign-ownership caps in regulated sectors (banking, mining) shape eligibility and structure.
Regulator and disclosure
The Indonesia Stock Exchange (Bursa Efek Indonesia) operates under the Otoritas Jasa Keuangan (OJK). OJK Regulation No. 4 of 2024, in force since 28 August 2024: ownership reports required at 5% of the voting shares and on each change in the whole-number percentage held, plus a separate report on pledges of 5% or more of the voting rights.
A pledge over a substantial line is arranged with that reporting regime in view, so that the facility is both discreet and compliant, and so that positions near a control or takeover threshold are not disturbed.
For who must report a pledge, and what an enforcement would make public, in each market the firm covers, see the comparison of share pledge disclosure rules.
Structuring a facility here
Lombard facilities against IDX-listed shares are typically arranged for a tenor of twelve to thirty-six months, funded in IDR or another currency on a cross-currency basis, with the collateral held by a qualified custodian under bankruptcy-remote arrangements. Non-recourse, limited-recourse, and full-recourse structures are available; the choice interacts with the loan-to-value and the spread. Unlike a stock loan in the securities-lending sense, title does not pass: the line stays registered to the holder for the life of the facility.
| Exchange | Indonesia Stock Exchange (Bursa Efek Indonesia, IDX) |
|---|---|
| City · Country | Jakarta · Indonesia |
| Regulator | Otoritas Jasa Keuangan (OJK) |
| Disclosure | Substantial holdings at 5% |
| Principal indices | Jakarta Composite Index (IHSG), LQ45, IDX30 |
| Segments | Main Board; Development Board; Acceleration Board |
| Currency · Tenor | IDR · 12–36 months |
| Recourse | Non-recourse / limited-recourse / full-recourse |
The Indonesia market as a whole
The Indonesia country overview sets the IDX in context: the national disclosure regime, the wider securities-backed lending picture, and the common ground behind any loan against shares listed in Indonesia.
- Lombard loans in Indonesia — the country overview: the national disclosure regime, currency, and how a facility is arranged.
Financing a position listed on the IDX?
Request terms →Other exchanges in the region.
On this market, specifically.
Liquidity and the index
The Jakarta Composite Index (IHSG) spans the whole market, while the LQ45 and IDX30 distil the most liquid large-capitalisation names — overwhelmingly banks, telecoms, and natural-resources issuers. Those index constituents carry the free float and turnover a Lombard loan is most at ease with; below them, on the Development and Acceleration boards, liquidity thins and single-stock volatility rises, so advance rates are set more cautiously.
Because a handful of large names drive much of the daily volume, the size of a holding relative to its own traded turnover — rather than its market value alone — is the figure that governs how the collateral is valued and margined.
Structuring notes
Structuring on the IDX is shaped by the sectoral foreign-ownership caps. In banking, mining, and other regulated fields, the proportion of a company that may be foreign-held is limited, and because enforcement of a pledge could transfer shares to a new holder, the Lombard facility is documented with that ceiling in mind and the enforcement route agreed before drawdown.
The pledged shares are held with a qualified custodian on bankruptcy-remote terms, and distribution and tax mechanics are settled up front. Where the client’s holding is itself close to a sector cap, the structure is arranged so that the pledge does not disturb the existing ownership position.