MSCI review threatens Indonesia's stock market status
The latest in this situation
- MSCI considered downgrading Indonesia's market status after meeting with IDX officials.
- Bank Muamalat economist analyzes how MSCI downgrade considerations affect regional currency stability.
- FSA enforces auto-rejection limits and backs IDX to maintain orderly trading amid market sentiment drop following MSCI consultation.
- The Jakarta Composite Stock Index fell sharply by 15% on October 19, 2026.
- MSCI may expel Indonesia from global indexes.
How it started
MSCI Reviews Indonesian Market Status Amid Sharp Stock Plunge
What happened
MSCI is reviewing Indonesia's capital market status and has downgraded its information flow criteria. This review follows a sharp correction in the Jakarta Composite Index, which plunged 8.01%. MSCI is considering reclassifying Indonesia's market from an "Emerging Market" to a "Standalone Market".
From antaranews.com
Why it matters
The review and potential reclassification by MSCI affect the perception of Indonesia's market structure. This situation has caused complications for central bankers in Indonesia. Indonesia's sovereign fund, Danantara, has indicated it might step into the local stock market during periods of stress.
Who's involved
- IndonesiaThe island country whose equity market is being assessed by MSCI.
- MSCIThe American financial service provider reviewing Indonesia's investability criteria.
- Bank IndonesiaThe central bank of the Republic of Indonesia, which is impacted by MSCI's index actions.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- Bank IndonesiaSpeculative
MSCI's index changes could impact the central bank's stability mandate and capital flows.
Possible ripples
Who this could reach next, traced step by step from the reporting. Possibilities worth considering, not forecasts.- Finance ministry must prove market reforms satisfy MSCIFinance ministry faces pressure to prove market reforms satisfy MSCI's governance criteriaLikely
- MSCI review may force Bank Indonesia to adjust monetary policyBank Indonesia may need to adjust monetary policy to counter market instability.Possible
- How could MSCI's review of Indonesian market investability affect BlackRock?BlackRock may need to adjust strategies if MSCI downgrades Indonesia's market statusPossible
How it developed
Newest first. Tap a step to see who reported it.- MSCI is considering removing Indonesia from its indexes following a severe stock market collapse.Sub-event
MSCI's index provider actions are creating complications for Indonesia's central bank.1 source
Rosan Roeslani advises on the Indonesian market as MSCI reviews its status.1 source
MSCI is reviewing Indonesia's market status and questioning its current classification.1 source
- Standard Chartered provided market analysis, referencing Korea, Pakistan, and Indonesia's MSCI downgrade risk.Sub-event
- The Indonesia Stock Exchange (IDX) holds routine technical meetings with MSCI regarding the review of market criteria for Indonesia.Sub-event
MSCI determines Indonesia's market status.1 source
- MSCI downgraded information flow criteria for Indonesia, which influences the perception of the Philippine market.Sub-event
Show 1 earlier step
MSCI reviewed investability criteria for Indonesian markets.1 source
Keep exploring
The entities involved
Related events
- MSCI placed the Indonesian market on watchlist due to transparency concerns, prompting potential downgrade review.
- MSCI assessed Indonesia's information flow and status, downgraded Greece from Developed to Emerging Market, and MSCI expressed serious concerns about Türkiye's market structure, while FTSE Russell raised transparency concerns.
- MSCI tracks Asia-Pacific shares and issues warnings affecting regional market sentiment, including Bursa Malaysia and Singapore.
- The Ministry of Investment and Downstream Industry released data detailing investment realization in Indonesia.
- MSCI downgrade fears trigger share dumping as Bank Indonesia manages domestic monetary policy amid market status review.
Coverage
Newest first; wire copies grouped- dealstreetasia.com
- thejakartapost.com
- aol.com
- antaranews.com
- dealstreetasia.com
- kontan.co.id
- thejakartapost.com
- indonesia-investments.com
- indonesia-investments.com
- thejakartapost.com
- businesstimes.com.sg
- businesstimes.com.sg
- dealstreetasia.com
- cnbc.com
- kontan.co.id
- kontan.co.id
38 more outlets ran the same wire story
- asiaone.com
- dailysabah.com
- econotimes.com
- zerohedge.com
- straitstimes.com
- thediplomat.com
- ksevradio.com
- aol.com
- bangkokpost.com
- econotimes.com
- businesstimes.com.sg
- businesstimes.com.sg
- indiatimes.com
- opinionnigeria.com
- riotimesonline.com
- euronews.com
- indiatimes.com
- asiaone.com
- business-standard.com
- aol.co.uk
- indiatimes.com
- bignewsnetwork.com
- investmentwatchblog.com
- zawya.com
- aol.com
- businesstimes.com.sg
- bruneinews.net
- asiaone.com
- bangkokpost.com
- kontan.co.id
- asiaone.com
- straitstimes.com
- cnbc.com
- cnbc.com
- thejakartapost.com
- scmp.com
- thejakartapost.com
- dealstreetasia.com