Indonesia Inflation Rose to 3.55% in Jan-26

MACROECONOMY 
Indonesia Inflation Rose to 3.55% in Jan-26 
Indonesia’s annual inflation accelerated to 3.55% in Jan-26 (vs Dec-25; 2.92%), the highest since May-23 and slightly above BI’s 1.5–3.5% target range, though below market expectations of 3.8%. The spike was mainly driven by a sharp surge in housing inflation (11.93% vs 1.62%), reflecting a low base effect from electricity tariff discounts in early 2025, while price pressures across food, transport, health, education, and recreation generally eased. Core inflation climbed to 2.45%, the highest in nine months, indicating firmer underlying demand, while on a monthly basis CPI fell 0.15%, reversing a 0.64% rise in Dec-25 and marking the first deflation since Aug-25. (Trading Economics)

INDUSTRY 
OJK–MSCI Technical Talks Showed Positive Progress, Focused on Transparency and Free Float Indonesia’s Financial Services Authority (OJK) said its discussions with MSCI were constructive, with the global index provider giving technical guidance on methodology and calculations for index evaluation. OJK, together with the Indonesia Stock Exchange (IDX) and KSEI, submitted proposals to address MSCI’s key concerns and committed to providing regular progress updates to support market transparency. Proposed measures included lowering the shareholder disclosure threshold to >1% from >5%, enhancing KSEI’s investor classification (9 types, 27 sub-types) alongside beneficial owner disclosure, and gradually increasing the minimum free float requirement from 7.5% to 15%. OJK added that MSCI’s concerns were broadly aligned with its eight priority programs covering transparency, beneficial ownership, liquidity, and free float, and officials would remain stationed at the IDX until market conditions stabilize. (CNBC)

COMPANY 
Sarana Menara Nusantara (TOWR) Announced Share Buyback of IDR 300 bn 
TOWR announced a share buyback program with a total allocation of IDR 300 bn, which will be conducted during 02 Feb - 01 May 26, aiming to repurchase up to 576 mn shares or around 0.97% of total outstanding shares. The buyback is intended to support share price stability amid market volatility and potentially improve EPS through a reduction in shares outstanding, and will be executed in accordance with prevailing capital market regulations. (Kontan)