Economy · 19 d ago
Jakarta
Indonesia
Indonesian stocks plunge as MSCI moves to drop its emerging-market status
Fall of the Jakarta Composite Index, Friday
11.1 %
The Jakarta Composite Index fell 11.1 per cent on Friday, its heaviest fall since early 1998, after an 8 per cent drop at the open forced a trading halt.
The status MSCI proposes
standalone
MSCI says reforms on ownership and trading have not gone far enough, and proposes a downgrade to standalone status, which would exclude Indonesian stocks from its global indexes.
Passive funds
US$4 billion
Active investors
US$15 billion
UBS estimates a removal could trigger about US$4 billion of passive outflows, and active investors could pull a further US$15 billion.
Apr
30
Friday
End of MSCI's consultation
The Indonesia Stock Exchange says the announcement is part of a consultation open until Apr 30, 2027, and not a final decision.
