Indonesian Rupiah: Equity reforms and hedging against downside – MUFG

MUFG’s Michael Wan reports Indonesia has pledged new equity-market reforms to restore investor confidence, including excluding tightly owned stocks from the Jakarta Composite Index and disclosing affiliations of 1%+ shareholders. He notes these measures target transparency and coordinated trading concerns, but implementation timing and MSCI’s assessment are key, with investors still hedging against short- to medium-term Indonesian Rupiah downside.