On 15 October 2026 MSCI opened a consultation on reclassifying Indonesia from Emerging Market to Standalone Market status, citing opaque shareholding structures and suspected coordinated trading. Indonesia's weight in the MSCI Emerging Markets Index fell to 0.43% on 30 September 2026 from 1.16% at the end of 2025, as the free-float-adjusted value of the MSCI Indonesia Index dropped about 55%, from US$119.1 billion to US$53.4 billion. Feedback is open until 30 April 2027, with a decision due by 30 June 2027, and the freeze on Indonesian index changes remains. MSCI said it could proceed unless the consultation shows clear evidence of better governance, noting that Indonesia's reforms, including a roadmap to a 15% minimum free float, have seen little enforcement. If the reclassification goes ahead, funds tracking emerging-market indexes could be forced to sell Indonesian shares regardless of company fundamentals.
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