THE ASSOCIATED PRESS

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JAKARTA, Indonesia - Shares on the Indonesian Stock Exchange continued falling Monday after a trading suspension was lifted.

The benchmark JSX index dropped more than six per cent in the opening half hour after shedding 21 per cent last week.

The market was closed around midday Wednesday amid a freefall that drove down the index more than 10 per cent amid panic that the U.S. financial crisis could trigger a global recession.

Responding to the turmoil, Indonesian authorities announced measures to free up liquidity, including easing regulations for share buybacks and corporate financial reserve limits.

President Susilo Bambang Yudhoyono last week urged state companies to repurchase shares, doubling to 20 per cent a buying limit and scrapping compulsory shareholder approval.

Most Asian markets recovered from record losses last week, seemingly encouraged by government guarantees of bank transfers in Europe.

But the Indonesian measures didn't seem to be having the desired effect, and commodities stocks, banks and mining companies were down sharply Monday.

Leaders in Indonesia, which suffered a devastating financial meltdown in the 1997-1998 Asian financial crisis, have sought to reassure investors that the country's fundamental economy remains strong.