REPUBLIKA.CO.ID, DENPASAR -- The Financial Service Authority (OJK) will issue a new regulation on good corporate governance, especially with regard to information transparency to improve competitiveness to face the ASEAN Economic Community.

"Before the first quarter of this year ends, the regulation is expected to be issued," Executive Head of Capital Market Supervision of the OJK Nurhaida said at the ASEAN Broker Conference and Networking 2015 here on Saturday.

To make good corporate governance better in Indonesia, the OJK plans to invite the 100 best publicly listed companies or issuers to share their opinions and expectations before the regulation is released, she pointed out.

"Our companies' ratings are indeed still low in the ASEAN region, with regard to good corporate governance. For example, the websites of many issuers are not in English yet, while their information transparency is not yet clear," Nurhaida explained.

She added that the good corporate governance ratings of Indonesian companies are still low as compared to those of other countries in the ASEAN region, despite Indonesia's capital market being among the top five.

"With the new regulation, it is hoped that Indonesian companies get bigger points," she noted.

Nurhaida added that capital markets in the region plan to name the 50 best issuers in terms of good corporate governance in the ASEAN region in the near future.

"It is hoped that Indonesian companies are named among the 50 best. They have the minimum number of representatives there. The more there are, the better it will certainly be," she remarked.

Furthermore, President Director of the Indonesia Stock Exchange Ito Warsito admitted that domestic issuers' good corporate governance ratings have yet to meet expectations, although they have shown improvements.

He added that the low ratings were not separable from the different yardsticks used in each country in the ASEAN region.

"The assessors assigned to rate companies vary from country to country. They have their own yardsticks and have different results due to different methods," he observed.

However, Warsito stated that he would continue to push for improvements so Indonesian issuers could compete at the ASEAN level and attract cross-border investors to invest in the country's capital market.

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