OJK Candidate Friderica Reveals Major Market Challenges Following MSCI Freeze
Jakarta — Indonesia’s financial markets face considerable challenges following reports from global rating agencies such as Investors Service and Fitch Ratings, alongside the freeze on rebalancing indices for securities from Morgan Stanley Capital International (MSCI).
This was acknowledged by Friderica Widyasari Dewi, prospective member of the Financial Services Authority (OJK) Board of Commissioners, during her fit and proper test before Commission XI of the House of Representatives on Wednesday, 11 March 2026.
Moody’s downgraded Indonesia’s credit rating outlook from stable to negative, though it maintained the long-term rating at Baa2 (investment grade). Similarly, Fitch Ratings revised Indonesia’s credit rating outlook to negative from previously stable, whilst maintaining the BBB rating for Long-Term Foreign-Currency Issuer Default Rating (IDR).
MSCI rebalancing results are frequently used by global investors to measure stock market performance across various countries, including Indonesia. The MSCI index serves as a reference point for investment managers, pension funds, and global funds in determining their investment allocations.
Friderica stated that OJK has undertaken direct communication with MSCI and various global rating agencies to explain the reform measures being undertaken in the financial market, particularly at the Indonesia Stock Exchange (IDX).
“Regarding MSCI and also Fitch and several global rating agencies, we have already met with them, and whilst MSCI has accepted the proposals we submitted, they cannot immediately accept them, but rather observe how consistently we fulfil the proposals we have made,” Friderica said.
She explained that OJK’s primary challenge at present is ensuring that all planned reforms can be implemented consistently and sustainably. “The challenge is how we ensure the fulfilment of the proposals we have submitted,” she stated.
According to her, the regulatory reform measures undertaken to improve the market have been presented to these rating agencies, and she confirmed that the response from global rating agencies has been sufficiently positive.
She expressed hope that through the reforms being implemented, Indonesia will not only be able to maintain its existing credit rating but also improve global investor perceptions regarding the stability of the national financial system.
Friderica herself is championing eight priority policies as a strategic architecture for strengthening the national financial services sector. She believes the eight policies are designed to ensure that the financial services sector in Indonesia is not only stable but also trustworthy, inclusive, and contributive in supporting national economic development.