Indonesia’s Carbon Exchange Records Impressive Growth
The Indonesian Carbon Exchange (IDXCarbon) has experienced a period of remarkable growth and momentum since its inception. As of August 8, 2025, the exchange recorded a transaction volume of 1,599,516 tons of carbon equivalent (CO2e), representing a massive 247.8% increase from its launch. This surge in activity is also reflected in the financial performance, with the total transaction value soaring by 166.9% to reach Rp77.96 billion. The number of active participants on the platform has also expanded considerably, with the count of registered service users growing to 117 and the total number of transactions climbing to 272. These figures underscore the market’s expanding potential and the growing commitment from various sectors to participate in Indonesia’s low-carbon economy, signaling a strong start for the nation’s climate-related financial instruments.
OJK’s Strategic Push for a Green Economy
In response to this burgeoning market, the Financial Services Authority (OJK) is actively strengthening its commitment to fostering Indonesia’s green economy and promoting low-carbon development. The Chairman of the OJK, Mahendra Siregar, emphasized that a comprehensive understanding of the nuances of carbon trading is essential for encouraging broader and more effective participation from key players within the financial services sector. To address this critical need for knowledge and capacity building, the OJK has proactively taken a major step by launching a new book titled “Understanding Carbon Trading for the Financial Services Sector.” This initiative is a clear signal of the government’s support for the nascent market, providing a solid foundation and regulatory guidance to ensure its transparent and sustainable growth.
Empowering the Market Through Education and Regulation
The newly released book is designed to serve as a foundational resource for all stakeholders, providing a comprehensive overview of the policy framework, regulatory guidelines, and institutional mechanisms that govern carbon trading in Indonesia. It also delves into the potential challenges that the market may face, while outlining the strategic and pivotal role that the financial services sector is expected to play in its future development. This educational initiative is a targeted effort to increase the market’s capacity and broaden the understanding of all participants, thereby ensuring the establishment of a transparent, fair, and legally compliant market. This is a crucial step towards building investor confidence and attracting both domestic and international capital into Indonesia’s carbon market, further solidifying the country’s position as a leader in climate finance in the region.
