Indonesia expels tightly held companies from Jakarta index in bid to avoid MSCI downgrade

Indonesia has removed several tightly controlled companies from its Jakarta index to prevent a potential downgrade by MSCI, a move aimed at improving the investability and attractiveness of the country's market. This decision comes after MSCI repeatedly expressed concerns about transparency and governance in Southeast Asia’s largest economy. By addressing these issues, Indonesia hopes to bolster its market standing and avoid losing its "emerging market" status, which could have broader implications for foreign investment and economic stability.