Prabowo accuses MSCI of trying to intimidate Indonesia after market rout

Indonesian President Prabowo Subianto accused global index provider MSCI of attempting to intimidate Indonesia after the market watchdog warned of potentially demoting the country's equities to standalone market status. The threat of downgrade triggered a significant market sell-off, leading to concerns about capital flight and a loss of access to major emerging market index flows.

Prabowo expressed that Indonesia would not be intimidated by MSCI, emphasizing the nation's strength, courage, and willingness to make sacrifices. MSCI defended its decision, stating it adheres to transparent and rules-based methodologies and will continue monitoring the situation while engaging with relevant parties.