GoTo to Be Removed from MSCI Indonesia Index at End of August 2026
Shares of PT GoTo Gojek Tokopedia Tbk (GOTO) face renewed pressure after global index provider MSCI decided to remove the company from the MSCI Indonesia index at the end of August 2026.
The decision is an additional blow to the Indonesian stock market, especially after GoTo’s market capitalisation has declined significantly in recent years.
GoTo, which once had a valuation of around US$29 billion and was one of Indonesia’s most valuable companies, now has a market capitalisation of around US$3.2 billion. GOTO shares have also remained at Rp50 per share since mid-May.
The Rp50 level is the minimum trading price on the main board of the Indonesia Stock Exchange (IDX). This condition has made the trading liquidity of GoTo shares a concern for index providers.
At the end of May, MSCI froze changes to GoTo’s position in its index. The move was taken due to concerns that the low liquidity of GOTO shares could make it difficult for investors tracking the index to trade shares in sufficiently large quantities.
The FTSE Russell decision came after GoTo shares were listed on the development board of the Indonesia Stock Exchange. That board does not meet FTSE Russell’s eligibility criteria for inclusion in the GEIS.
Responding to MSCI’s decision, GoTo stated that the removal relates to technical aspects of share trading and does not reflect the company’s business performance.
“The decision is technical in nature. It occurred because our shares are at the lower limit price of Rp50, where trading volume is low – not due to business performance,” GoTo said in a response via email to Reuters.
GoTo also stated it will continue to communicate with MSCI regarding developments in the company’s shares.
“Index decisions are reviewed periodically, and we will remain in active dialogue with MSCI,” GoTo said.
The removal of GoTo from the MSCI Indonesia index could become a concern for institutional investors who use the index as an investment benchmark. Changes in index composition can affect portfolio adjustment needs for investors tracking the index.
For GoTo, MSCI’s decision adds to the list of challenges facing the company’s shares in the capital market. Previously, removal from the FTSE Russell index also occurred after a change in GoTo’s listing board on the IDX.
Nevertheless, the company emphasised that MSCI’s decision is not related to GoTo’s operational performance or business fundamentals, but rather to technical trading conditions and liquidity levels.