MSCI cited persistent “fundamental investability issues” and concerns over coordinated efforts to distort prices
Published Wed, Jan 28, 2026 · 10:24 AM
MSCI will pause certain index changes for Indonesian companies until regulators address concerns over the tightly held ownership of listed firms, marking the latest setback for South-east Asia’s biggest market.
The index compiler will immediately halt index additions to its gauges and freeze increases to the number of shares deemed available to investors, citing persistent “fundamental investability issues” and concerns over coordinated efforts to distort prices, it said in a statement.
If Indonesia fails to make sufficient progress on transparency improvements by May, MSCI will reassess the country’s market accessibility status – a move that could lead to a reduction in weighting for all Indonesian companies in the MSCI Emerging Markets Index and even a potential downgrade to frontier-market status. BLOOMBERG
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