JAKARTA - The Financial Services Authority (OJK) welcomes the announcement regarding the Update on Free Float Assessment of Indonesian Securities released by MSCI Inc. on April 20, 2026.
The announcement confirms that MSCI has noted and recognized the various strategic steps taken by the OJK, PT Bursa Efek Indonesia (BEI), and PT Kustodian Sentral Efek Indonesia (KSEI) in order to strengthen the transparency and integrity of the Indonesian capital market.
"The various strategic initiatives above are part of an ongoing effort to improve market governance quality, strengthen investor protection, and encourage the Indonesian capital market to become more credible, transparent, and globally competitive," said Head of the Financial Derivatives and Carbon Exchange Market Supervisory Authority OJK Hasan Fawzi in a statement. official in Jakarta, quoted by Antara, Wednesday, April 22.
Initiatives for the reform of the Indonesian capital market that have received MSCI's attention include increasing the transparency of share ownership above 1 percent, strengthening the granularity of investor classification, implementing the High Shareholding Concentration (HSC) framework, and increasing the minimum limit of free float.
Chairman of the OJK Commissioner Board, Friderica Widyasari Dewi, emphasized that the initial recognition of MSCI on the achievement of capital market transparency reform is a positive signal for the direction of the policies taken by Indonesia.
"In the future, the implementation of reform measures will continue to be maintained so that it runs consistently, measured, and sustainable, and strengthened through active coordination with various parties, including global market players," said Friderica.
Currently, MSCI is conducting a follow-up assessment based on new data sources generated from Indonesia's capital market reform initiatives, including gathering input from global market participants.
This is part of the process of refining the assessment for the MSCI Index Review in May 2026 and the MSCI Market Accessibility Review in June 2026.
OJK considers this process as an important momentum to demonstrate the effectiveness of the implementation of various policies that have been rolled out, with optimism that these concrete steps will further strengthen the accessibility and increase the investability of the Indonesian capital market.
As part of its commitment to sustainable reform, OJK emphasized that it would continue to encourage the strengthening of the integrity of the national capital market through the implementation of eight Action Plans to Accelerate the Reform of the Indonesian Capital Market Integrity.
The action plan includes increased transparency, strengthening liquidity, strengthening law enforcement and governance, and deepening the market.
With these various efforts, OJK believes that the Indonesian capital market is on the right track to become an increasingly deep, liquid, and credible market, and is able to make optimal contributions to national economic growth.
On the other hand, MSCI will still maintain the steps that have been announced previously, which currently apply to the Indonesian market, including freezing all increases in the Foreign Inclusion Factor (FIF) and Number of Shares (NOS), freezing the addition of constituents to the MSCI Investable Market Indexes (IMI), and freezing the movement of increases between index segments of size, including from Small Cap to Standard.
In addition, consistent with the treatment of other country markets, MSCI announced that it will remove shares identified by Indonesian authorities as shares with high ownership concentration or High Shareholding Concentration (HSC).
MSCI may also use 1 percent shareholder disclosure data to adjust the free float estimate if appropriate.
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