MSCI Removes More Indonesian Stocks, Dealing Fresh Blow to Market Amid Reform Push
MSCI said the deletions will force index-tracking funds to sell shares, while Indonesia’s benchmark representation falls to nine companies.
- On Thursday, Nov 12, MSCI removed energy company Barito Pacific from its Global Standard Index and downgraded mining company Bumi Resources Minerals to the Global Small Cap Index, with changes taking effect after Nov 30.
- The index provider's move follows MSCI warnings last month that Indonesia faces reclassification to a 'standalone' market due to concerns over market transparency, free-float data reliability, and opaque shareholding structures.
- Indonesia's representation in the MSCI Indonesia Index has shrunk to nine companies after removals in May and August, while the Jakarta Composite Index declined more than 41 per cent this year, making it the world's worst performer.
- Foreign investors have withdrawn about US$5.4 billion from Indonesian equities this year, and Goldman Sachs estimated a potential index exclusion could trigger another US$5.6 billion in passive outflows, intensifying pressure on the market.
- MSCI will accept feedback on its proposed reclassification until Apr 30, 2027, with a final decision due by Jun 30, 2027, as The Financial Services Authority and the Indonesia Stock Exchange introduce transparency reforms to address governance concerns.
12 Articles
12 Articles
Index changes are based on data as of October 20, 2026 and are effective after the close of trading on November 30, 2026.
https://www.law-justice.co/detail.php?ID=213381Global index provider Morgan Stanley Capital International (MSCI) officially released eight Indonesian stocks based on the results of the index rebalancing for the November 2026 period.
MSCI removed BRPT, BRMS, and seven other stocks from its index. The JCI is expected to move amid domestic and global pressures.
JAKARTA -- Global index provider MSCI Inc. announced the results of its November 2026 index review, with several changes to Indonesian stock constituents in the Global Standard and Global Small Cap categories. Based on the announcement...
Coverage Details
Bias Distribution
- 100% of the sources lean Right
Factuality
To view factuality data please Upgrade to Premium
