MSCI has maintained Indonesia’s status as an emerging market in its 2026 Global Market Accessibility Review, although the global index provider downgraded its assessment of one key aspect of the country’s capital market accessibility. In the report released on Friday (June 19, 2026), MSCI lowered Indonesia’s rating for the Information Flow criterion from positive (+) to negative (-), citing persistent concerns over market transparency and investment viability. Of the 18 market accessibility criteria assessed, only Information Flow and Foreign Exchange Market Liberalization received negative ratings.
“Information Flow: + to -. Issues related to investment viability persist due to limited transparency in shareholding structures and coordinated trading behavior that disrupt fair price formation. Detailed stock market information is not always disclosed in English,” MSCI said in the report.
MSCI identified several areas requiring improvement. Information on listed companies is not always readily available in English, limiting equal access for foreign investors. The report also noted constraints on foreign exchange transactions due to the lack of an efficient offshore currency market and restrictions in the domestic forex market. In addition, foreign investors are not permitted to access overdraft facilities. MSCI also highlighted restrictions on share transfers, limited stock lending of up to 90 days, and constraints on short-selling activities. Despite these concerns, Indonesia performed well across the majority of the assessment. MSCI said the official results of its 2026 Annual Market Classification Review, which will determine whether Indonesia retains its emerging market status, will be announced on June 23.
The Financial Services Authority (OJK) said the review indicates that Indonesia’s overall market accessibility remains strong. OJK Chief Executive for Capital Market, Financial Derivatives, and Carbon Exchange Supervision Hasan Fawzi said 10 of the 18 assessment criteria received the highest rating of double positive (++), while six received a positive (+) rating. Only Information Flow and Foreign Exchange Market Liberalization were rated negative.
“The Information Flow and Foreign Exchange Market Liberalization criteria received a negative (-) rating, indicating areas that require further improvement,” Hasan said in a written statement.
Hasan said the assessment reflects Indonesia’s ongoing capital market reform efforts. He added that MSCI had acknowledged improvements introduced by the country’s self-regulatory organizations (SROs), including reforms related to market infrastructure and foreign exchange transactions.
“As a follow-up, we continue to coordinate intensively within OJK and with relevant authorities, including Bank Indonesia, to ensure continuous improvement while prioritizing risk mitigation, good governance, and alignment with national macroprudential policies to safeguard market stability,” he said.
According to Hasan, the reforms include improving share ownership data, strengthening information disclosure, developing a beneficial ownership reporting framework, and enhancing market surveillance and trade oversight. He added that these initiatives have also been positively recognized by other global index providers, including FTSE Russell.
Indonesia Stock Exchange (IDX) President Director Jeffrey Hendrik welcomed MSCI’s assessment, describing it as valuable feedback for the exchange and other self-regulatory organizations to further strengthen the domestic capital market.
“We appreciate the feedback that has been provided. It has also been part of our ongoing discussions, and we will continue making improvements. Based on today’s assessment, we remain optimistic that Indonesia will continue to be classified as an emerging market,” Jeffrey told reporters at the IDX Building in Central Jakarta.
June 20, 2026, detikFinance
(https://finance.detik.com/bursa-dan-valas/d-8539324/msci-nilai-ri-emerging-market-tapi-dengan-catatan-tajam-soal-bursa-saham)