Concern over an MSCI proposal to reclassify Indonesia’s stock market from emerging market to standalone market should not imply poor fundamentals across all listed companies, Pandu Sjahrir, Chief Investment Officer of BPI Danantara, said in a statement posted on Instagram on Friday, 23 October 2026. Market governance and transparency issues need serious handling, he said, but the business strength of Indonesian companies still needs to be viewed objectively.
Corporate earnings and cash
Sjahrir cited data on 146 listed issuers with annual revenue above Rp5 trillion. Of those, 134 still recorded profits. Aggregate issuer profit rose 15 percent in the first semester of 2026 from the same period a year earlier, and issuer revenue grew 7 percent year on year.
Cash holdings also grew. Total cash of 121 non-financial issuers reached Rp583 trillion in the second quarter of 2026, up 13 percent year on year.
A call for quality and access
A strong capital market is not just about indices rising, Sjahrir said. Quality companies must be able to obtain funding, and the public has the opportunity to take part in their growth, he added.
Danantara said it fully supports the Financial Services Authority (OJK), the Indonesia Stock Exchange (BEI), Bank Indonesia (BI) and the Ministry of Finance.
Source: BPI Danantara
