MSCI Inc. has announced a one-month extension for its review of Indonesia’s stock market status, now set for June, as it evaluates the implications of recent regulatory reforms. This decision follows investor concerns regarding a possible downgrade to frontier market status due to issues with investability and limited free float. As part of the review, MSCI will assess new data sources and measures related to public trading shares. The Jakarta Composite Index has suffered significantly, becoming the world’s worst-performing major index this year, largely due to investor anxiety over potential outflows and policy direction. Regulatory reforms have been initiated, including a requirement to double minimum float levels to 15%, with a phase-in period for some companies. Despite the extension being viewed as a temporary relief, analysts suggest that Indonesia remains on 'probation,' indicating that further reforms are necessary to restore investor confidence. Market experts believe that this additional time could allow policymakers to implement necessary changes, keeping the 'path to redemption' open for the future.