Jakarta, ThedailyID — Indonesia’s Financial Services Authority (OJK) has acknowledged that law enforcement remains a key challenge in addressing concerns raised by global index provider MSCI about the country’s capital market.
OJK Chairwoman Friderica Widyasari Dewi said the regulator had addressed several issues, including information disclosure, transparency and market liquidity. However, enforcement remains below MSCI’s expectations.
“We have met the requirements they expect from our market, including disclosure, transparency, liquidity and other aspects. Only one area remains below expectations, which is enforcement,” Friderica said at an OJK Digiclass press conference in Cilandak, South Jakarta, on Tuesday, October 27, 2026.
Friderica, widely known as Kiki, said OJK would announce further enforcement measures soon. She described the planned steps as part of the regulator’s efforts to address MSCI’s feedback and strengthen Indonesia’s capital market.
She also highlighted several major financial penalties that OJK had imposed in previous cases. These included a fine of Rp1.5 trillion, which she described as one of the largest sanctions in Indonesian capital market history. OJK had also imposed penalties of Rp500 billion and Rp100 billion in other cases.
Beyond enforcement, OJK has announced the formation of a committee to examine high shareholding concentration (HSC). The committee includes individuals whom the regulator considers credible and independent.
Kiki said independent oversight would help build confidence among market participants and other stakeholders. The committee will examine the issue of concentrated share ownership and support efforts to improve market credibility.
OJK has also introduced other adjustments to improve the quality of Indonesia’s capital market. The regulator says these measures aim to strengthen transparency, liquidity and investor protection for both domestic and foreign investors, including institutional and retail participants.
Meanwhile, global index provider FTSE Russell has retained Indonesia’s status as an emerging market. Kiki welcomed the decision as positive news for the country’s financial market.
“This is very good news and gives us further encouragement. Nevertheless, we will continue following up on MSCI’s concerns,” she said.
Despite FTSE Russell’s decision, OJK says it will continue addressing MSCI’s feedback, particularly on enforcement. The regulator has not yet detailed the new measures it plans to announce.
