Title: Market liquidity of agriculture sector in Indonesia and Malaysia during COVID-19 Delta

Authors: Elisa Tjondro; Caroline Liovan Subur; David Pangestoe

Addresses: Accounting Department, School of Business and Management, Petra Christian University, Jalan Siwalankerto, 121-131, Wonocolo, Surabaya, 60236, Indonesia ' Accounting Department, School of Business and Management, Petra Christian University, Jalan Siwalankerto, 121-131, Wonocolo, Surabaya, 60236, Indonesia ' Accounting Department, School of Business and Management, Petra Christian University, Jalan Siwalankerto, 121-131, Wonocolo, Surabaya, 60236, Indonesia

Abstract: This study aims to assess the influence of the COVID-19 Delta outbreak on stock market liquidity within the agricultural sectors of Indonesia and Malaysia. This study assesses the impact of the COVID-19 Delta variant by examining COVID-19 cases, mortalities, recoveries, vaccinations, and stringency datasets. The study comprised a sample of 57 agricultural firms listed on the Indonesia Stock Exchange (IDX) and Bursa Malaysia. Daily data was collected from January to December 2021, generating 8358 observations. The study utilises the panel regression weighted least square (WLS) analysis approach. This study reveals that COVID-19 Delta has adversely affected market liquidity in the agricultural sectors of Indonesia and Malaysia. The study reveals that rising daily cases, deaths, and recoveries have a negative effect on market liquidity, whereas vaccination and stringency do not demonstrate any association. Even increasing the recovery rate does not restore market liquidity due to the Delta variant's negative impact.

Keywords: COVID-19; Delta variant; stock market liquidity; market resilience; COVID-19 cases; deaths; vaccination; stringency.

DOI: 10.1504/IJASM.2025.147865

International Journal of Agile Systems and Management, 2025 Vol.18 No.3/4, pp.285 - 307

Received: 09 Mar 2024
Accepted: 25 Jun 2024
Published online: 05 Aug 2025 *

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