MSCI opens consultation on possible reclassification of Indonesia’s market status
MSCI has opened a consultation to consider moving Indonesia from emerging‑market to standalone‑market status, citing ongoing opacity and trading irregularities. The index provider warned that unclear ownership structures, high share concentration and alleged coordinated trading are eroding the market’s investability. MSCI also said it will keep a freeze on additions to the MSCI Indonesia Investable Market Index and on adjustments to foreign inclusion factors. Indonesian regulators have responded with tighter shareholder‑disclosure requirements and a plan to enforce a minimum 15 % free‑float threshold.
How this was covered
- Left-leaning outlets covered this 3h later
Why it matters
The outcome could affect foreign investment flows and Indonesia’s access to global capital markets.
How this story developed
- Oct 16 MSCI launches consultation to reclassify Indonesia as standalone market over governance concerns
- Oct 16 MSCI announced a consultation to consider reclassifying Indonesia as a standalone market.
