‘Alternative, stable markets’: Johor eyes investment opportunities as Indonesia faces possible MSCI downgrade
MALAYSIA: Malaysia and Johor stand to benefit from investment flows redirected away from Indonesia following Morgan Stanley Capital International’s (MSCI) proposal to reclassify Indonesia from an Emerging Market to a Standalone Market, according to Johor Investment, Trade, Consumer Affairs and Human Resources Committee Chairman Lee Ting Han. Speaking to reporters at the Falcon Data Centre Project…
Johor and Malaysia may see increased investment as Indonesia's status could be downgraded by Morgan Stanley Capital International (MSCI) from an Emerging Market to a Standalone Market. Johor Investment, Trade, Consumer Affairs and Human Resources Committee Chairman Lee Ting Han stated that Malaysia's neutral position between East and West makes it an attractive alternative for foreign funds reassessing their regional exposure after such a downgrade.
Lee emphasized that while an MSCI downgrade of Indonesia might not have a significant direct negative impact on Johor or Malaysia's markets, MSCI primarily focuses on capital markets and international indices. Indonesia's benchmark Jakarta Stock Exchange Composite Index experienced a drop of more than 5% in early trading after MSCI warned of a potential downgrade, with the Indonesian rupiah also weakening in response.
Written by urgent.news from The Independent Singapore's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
Also reported by 1 other outlet
- Bank Indonesia says rupiah remains manageable after MSCI market shock en.antaranews.com
