Indonesia's President Prabowo Subianto has accused the index provider MSCI of trying to intimidate the country, in his first public response to its warning that Indonesian shares could be demoted, CNA reports.
MSCI said last week it might move Indonesia to standalone market status, saying not enough had been done to stop coordinated trading. The announcement set off a record two-day sell-off, and a downgrade could cut the economy off from major emerging-market index funds. In remarks to his cabinet broadcast online, Prabowo said Indonesia feared no one and would not be cowed.
MSCI said its decisions follow transparent, rules-based methods and that it would keep engaging with Indonesian authorities. Singapore's state investors GIC and Temasek rejected a claim by a former Indonesian trade minister that they had pressed MSCI to issue the warning.
Source: CNA
