The stock of JPMorgan Chase & Co (NYSE:JPM) closed at $101.41 losing 0.35% in yesterday’s trading session. The U.S. investment bank was recently shunned over negative comments regarding the stock market. If everything moves according to plan, Indonesia might soon resolve to lift a ban on a series of government entities that have over the years worked closely with JPMorgan.
Indonesia’s Finance Minister Sri Mulyani Indrawati through a statement outlined that any future cooperation between two would be cemented by trust and mutual respect. A lot of people following closely on the matter anticipated that she would reveal details regarding the time frame for lifting the restriction.
As a sort of tactical response following Donald Trump’s election victory, the enormous U.S. bank proceeded to downgrade the Southeast Asian nation’s equities. President Joko Widodo’s government came to a point where it stopped its business undertakings with the bank. In January, JPMorgan engaged in upgrading the Indonesian stocks. However, the government was relentless in its decision to uphold the ban on the financial institution as an underwriter of its rupiah and dollar bonds.
In response to a question that was posed, Indrawati outlined that Indonesia remained open to the line of thought of reinstating JPMorgan as an underwriter. He went ahead to state that they remained open to establishing a good relationship in case need arose.
In the meantime, JPMorgan is continuing in its quest to serve quite a significant number of its private clients in Indonesia. It has over the years dedicated its efforts to providing investment and commercial banking services to clients.
It was back in 1968 that this bank obtained an Indonesian banking license. Last year, this it managed to post a net income of about 314 billion rupiah. A spokeswoman for JPMorgan in Singapore, Li Anne Wong, was asked to comment on whether or not the bank intended to reapply for the Indonesian license to underwrite government securities. Unfortunately, she declined to comment on the matter.
JPMorgan’s head of global banking, Carlos Hernandez, opined, “The government knows that we are supportive of Indonesia and we want to be here helping both the private and the public sector.”