The Jakarta Composite Index (IHSG) closed down 678.67 points, or 11.57 percent, at 5,185.10 on Friday, as pressure built around MSCI’s consultation on reclassifying Indonesia’s stock market from Emerging Market to Standalone Market.
The index had opened at 5,393.92 and climbed as high as 5,404.51 during the session before tumbling to an intraday low of 5,185.11. Trading volume reached 658.27 million lots, with turnover of about Rp26.4 trillion. Only 11 stocks closed higher. A total of 812 stocks fell, and 140 were unchanged.
Sectors broadly lower
The infrastructure sector led declines, down 14.3 percent. Basic materials fell 13.3 percent, while the health sector dropped 13.1 percent. Named entities in the record included PT Bank Central Asia Tbk, PT Bank Rakyat Indonesia (Persero) Tbk, PT Bank Mandiri (Persero) Tbk, PT Telkom Indonesia (Persero) Tbk, PT Amman Mineral Internasional Tbk, PT Bayan Resources Tbk, PT Bank of India Indonesia Tbk, PT Indoritel Makmur Internasional Tbk, PT Guna Timur Raya Tbk and PT Asuransi Bina Dana Arta Tbk.
MSCI review still open
MSCI’s plan to move Indonesia from Emerging Market to Standalone Market status remains in consultation, not a final decision.
During the consultation period MSCI is freezing index changes for Indonesian stocks, meaning no increases to the Foreign Inclusion Factor or Number of Shares, no new additions to the MSCI Indonesia Investable Market Index, and no upgrades to higher index segments. Market participants have until 30 April 2027 to submit feedback, and MSCI said it will announce its final decision at the end of June 2027, adding it may provide interim updates on feedback during the consultation period.
If foreign funds were to leave Indonesia’s stock market, that could raise demand for US dollars and add pressure on the rupiah.
Related: MSCI review sends Jakarta stocks down 10.76% in first session · IHSG plunges 11.34% as MSCI weighs Indonesia downgrade
Source: MSCI
