Following MSCI Announcement, OJK Promises More Quality Issuers
Following the MSCI announcement, the Financial Services Authority (OJK) has assured that the number of quality issuers will increase at the Indonesia Stock Exchange (BEI). This is in response to the May 2026 MSCI rebalancing announcement.
OJK’s Executive Head of Capital Market Supervision, Financial Derivatives, and Carbon Exchange, Hasan Fawzi, stated that his agency, along with the BEI, has engaged market participants on both the potential buyer side and the supply side, including listed issuers and prospective issuers.
“Selectively, we will ensure that more quality issuers will emerge, fill, and list on the Indonesia Stock Exchange in the future,” Hasan said during a press conference at the Indonesia Stock Exchange (BEI) building on Wednesday (12/5/2026).
He then emphasised that OJK would continue to monitor market responses and reactions to the current conditions, particularly the recent MSCI announcement.
Hasan assessed that the decline in the Composite Stock Price Index (IHSG) during the morning session today, following the MSCI announcement, is still reasonable. This is reflected in the absence of any shares hitting the lower auto rejection (ARB), with average frequency, volume, and transaction values remaining quite good.
“On average, there is no significant difference from previous days. This also indicates no panic selling efforts or one-sided reactions in the form of outflows, such as attempts to sell shares without corresponding buying strength,” Hasan stated.
He continued that, amid all the current regional and global turbulence, the average stock price level in the market, as reflected by the IHSG’s price-to-earnings ratio (PER), is already very low.
“We are now far below the position during the all-time high in mid-January. Now, even compared to regional peers, our average PER for stocks is below the average PER of other exchanges,” Hasan explained.
He detailed that the IHSG’s PER is currently at 16 times. Hasan hopes this condition can be utilised by investors to selectively enter the best stocks that prospectively continue to improve their performance in the future.
Furthermore, he assured that his agency, along with all self-regulatory organisations (SROs), will continue to monitor market developments.
“We at OJK, together with all SROs, will continue to monitor and observe market developments to ensure our capital market remains stable and overall market stability is maintained,” he said.