OJK outlines market reforms after MSCI-linked stock sell-off

Indonesia’s Financial Services Authority (OJK) said it and other capital-market regulators had made their maximum effort on ongoing reforms, responding to a stock-market slump linked to sentiment surrounding MSCI.

Speaking at the Indonesia Stock Exchange on 16 October 2026, OJK board chair Friderica Widyasari Dewi outlined changes to ownership transparency. The threshold for disclosing shareholdings has been lowered from 5 per cent to 1 per cent, while investor classifications have expanded from 9 categories to 39. Free-float requirements are also being raised in stages.

OJK said MSCI had formally indicated that its review would take place in November. The regulator said it respected that timetable and the independence of global index providers, as well as feedback from stakeholders.

Friderica said the domestic market remained attractive, citing Indonesia’s economic fundamentals, a growing investor base, competitive equity valuations and generally positive fundamentals among listed companies.

Hasan Fawzi, OJK’s chief executive for capital-market, financial-derivatives and carbon-exchange supervision, said MSCI’s feedback aligned with Indonesia’s accelerated capital-market integrity reform plan, including sustained law enforcement. He said OJK would strengthen enforcement in coordination with relevant parties.

OJK and self-regulatory organisations will continue discussions with index providers and global institutional investors to communicate reform progress and gather policy recommendations, Hasan said.