Singapore investors can now trade shares of Indonesia’s top companies — BCA, Telkom, and Indofood — through the new SDR Linkage with IDX.

The Singapore Exchange (SGX) has officially launched Singapore Depository Receipts (SDRs) featuring three of Indonesia’s most prominent blue-chip companies — Bank Central Asia (BCA), Telkom Indonesia, and Indofood CBP. This initiative marks a major step in deepening regional capital market integration and enhancing investment accessibility within Asean.

A New Gateway to Indonesian Equities

The launch of the Indonesia-Singapore Depository Receipt (DR) Linkage on Oct 16 allows Singapore investors to gain beneficial ownership of shares in three IDX-listed giants through local brokers and trade them in Singapore dollars. Issued by Phillip Securities, these SDRs represent a simplified gateway to Indonesia’s fast-growing equity market, offering access to companies that are part of the benchmark IDX30 Index.

Deepening Regional Market Connectivity

SGX CEO Loh Boon Chye hailed the initiative as a “significant milestone” in building stronger financial bridges across Southeast Asia. The program follows a 2024 memorandum of understanding (MoU) between SGX Group and the Indonesia Stock Exchange (IDX) to facilitate cross-border listings. Loh noted that the collaboration is part of a broader effort led by the Monetary Authority of Singapore’s Equities Market Review Group to strengthen the local equities ecosystem.

IDX President Director Iman Rachman echoed this sentiment, calling the linkage “a strategic milestone” that will expand investor participation, enhance market liquidity, and deepen cross-border investment flows.

Record Demand for SDRs

According to Serene Cai, SGX’s Head of Securities Trading, SDRs have seen record-breaking activity in 2025, with average daily traded value reaching S$16 million in September, marking a 30-fold increase since the product’s introduction three years ago. Assets under management in SDRs have surged to S$200 million, driven largely by retail investors.

“Retail participation continues to grow steadily,” Cai said, adding that the SDR market has evolved into a recognised asset class, bolstered by strong investor interest in regional exposure.

Riding on Indonesia’s Economic Strength

The launch comes as the Jakarta Composite Index (JCI) reached an all-time high in September 2025, delivering a 150% total return over the past decade — or more than 9% annualised growth. Indonesia’s consistent performance, supported by sectors like finance, consumer goods, communications, and materials, underscores its appeal to regional investors.

Cai noted that the three selected companies represent Indonesia’s economic resilience and domestic growth potential:

• Bank Central Asia (BCA) – The nation’s largest bank, leading digital transformation in financial services.
• Telkom Indonesia – The dominant telecommunications provider, benefiting from rising digital connectivity.
• Indofood CBP – The consumer giant behind Indomie, symbolising Indonesia’s consumption-driven economy.

Expanding the Asean Investment Landscape

The Indonesian SDRs join earlier SDR programs featuring Thailand and Hong Kong, bringing the total number of listed SDRs on SGX to 26 securities. SGX plans to expand into new jurisdictions — including Vietnam — as it continues to strengthen Asean capital market cooperation.

“We’re bringing the world to Singapore, traded locally in SGD,” Cai said, highlighting that SDRs offer a practical alternative to full exchange integration while maintaining regulatory autonomy across markets.

A Platform for Future Collaboration

Luke Lim, Managing Director of Phillip Securities, described SDRs as a tool that makes Asean cross-border investing straightforward and accessible. “We believe investors should be able to focus on building their portfolios without the friction of cross-border complexity,” he said.

The initiative is also part of a broader commitment among six Asean exchanges — SGX, IDX, SET, Bursa Malaysia, VNX, and the Philippine Stock Exchange — to promote collaboration through regional DR linkages, further positioning Asean as a cohesive and attractive investment hub.

By opening Singapore’s doors to Indonesia’s most valuable companies, the SGX’s SDR Linkage marks a new era of regional investment integration. It not only broadens access for retail investors but also strengthens the foundations of Asean financial cooperation — paving the way for a more connected and resilient regional capital market.

Sources: The Business Times (2025) , The Edge Singapore (2025)

Keywords: SGX, IDX, Singapore Depository Receipts, Bank Central Asia, Telkom Indonesia, Indofood CBP, Regional Investment