OJK to Revamp HSC After MSCI Scrutiny, with Share Ownership Transparency a Priority

The Financial Services Authority (OJK) is urging the Indonesia Stock Exchange (BEI) to refine its High Shareholding Concentration (HSC) mechanism following scrutiny of Indonesia’s capital market by global index provider MSCI. The improvements will focus on share-ownership transparency, assessment methodology and stronger governance to enhance the capital market’s credibility.

Hasan Fawzi, an OJK Board of Commissioners member responsible for supervising capital markets, financial derivatives and carbon exchanges, made the remarks at a press conference on updates to the capital market held by BEI and OJK at the Indonesia Stock Exchange Building on Monday, 26 October 2026.

Hasan said refining HSC was one of the ongoing capital-market integrity reform measures being pursued by the authorities and the exchange operator. The mechanism has attracted attention from various parties, including investors and global index providers.

“We are urging the Indonesia Stock Exchange to refine the methodology and mechanisms relating to high shareholding concentration, including by strengthening transparency and the HSC mechanism, and improving governance by involving independent parties from outside the SRO in the working committee,” Hasan said.

The involvement of independent parties from outside the Self-Regulatory Organisation (SRO) is expected to support governance in determining which shares fall into the HSC category. The move is also intended to ensure that the mechanisms used are credible and accountable.

HSC in the spotlight after MSCI announcement

Hasan explained that the attention paid to HSC showed that the mechanism had become an important tool for revealing the ownership structure of listed companies in Indonesia’s capital market.

Information about share-ownership concentration is needed to help investors understand the ownership structure of a listed company. The data can also serve as a reference for global index providers when conducting assessments according to their respective needs and methodologies.

“It turns out that HSC has become a reference and is attracting attention from many parties. This is a good thing, as it indicates that HSC has become an important tool for revealing the share-ownership conditions of listed companies,” Hasan said.