OJK urges continued market reforms amid MSCI classification concerns

Indonesia must press ahead with capital market reforms as MSCI's assessment raises the possibility of moving the country from emerging-market to standalone status, Financial Services Authority (OJK) chair Friderica Widyasari Dewi said on 29 October 2026.

Speaking at the opening of Kadin's national leadership meeting, Friderica said the assessment should take account of Indonesia's economic fundamentals and market characteristics. She questioned whether its market warranted the same classification as Zimbabwe, Ukraine or Argentina.

Friderica pointed to what she described as Indonesia's relatively large stock market capitalisation, a minimum free-float requirement of 15% and disclosure requirements for shareholdings starting at 1%. Some other markets only require ownership disclosure at 5% or above, she said. She also cited competitive gross domestic product growth and relatively contained inflation.

OJK and capital market self-regulatory organisations have been pursuing reforms following market turbulence in January 2026, seeking to address concerns raised by global investors. Friderica said the work was intended to improve transparency, liquidity and investor confidence.

She stressed that the reforms were not solely a response to one global index provider. OJK wanted a larger, more resilient, transparent, efficient and fair market that could support long-term investment. Citing MSCI's June 2026 announcement, she said Indonesia had satisfied 16 of the 18 indicators in its market accessibility review.