MSCI will continue its freeze on Indonesian stocks through the August 2026 index review. This extension maintains a measure first implemented in January.
The decision prevents increases to Foreign Inclusion Factors (FIFs) and share counts for existing Indonesian constituents. No new Indonesian securities will join the MSCI Investable Market Index during this period.
The move follows a June review where MSCI highlighted persistent concerns from international investors. Indonesia currently retains its emerging market status.
MSCI warned it may consult on downgrading Indonesia to a frontier market by November 2026. This action depends on whether the country demonstrates substantial progress on market reforms.