GoTo Removed from MSCI Indonesia Index After Trading at Minimum Price

Index Provider Cites Liquidity Concerns

PT GoTo Gojek Tokopedia will exit the MSCI Indonesia Investable Market Index next month, the latest blow to a company whose shares have languished at the Indonesia Stock Exchange minimum tradable price of Rp 50 since May 13.

MSCI announced the decision Thursday as part of its August 2026 review, citing potential index replicability issues tied to extremely low liquidity. The changes take effect after trading closes on August 31, with the revised index composition live from September 1.

The removal marks a sharp reversal for what was once Indonesia's most anticipated technology listing. GoTo, formed from the 2021 merger of ride-hailing platform Gojek and e-commerce marketplace Tokopedia, debuted on the IDX in April 2022 at Rp 338 per share, valuing the company at roughly $28 billion. That price has since collapsed by more than 85 percent.

Broader Reshuffle Hits Ten Indonesian Names

GoTo is not alone in facing a downgrade. PT Charoen Pokphand Indonesia, a major poultry producer, will shift from the MSCI Global Standard Index to the MSCI Global Small Cap Index.

Nine additional Indonesian stocks will be removed entirely from the MSCI Global Small Cap Index: Bank Jago, Bukalapak, Surya Esa Perkasa, MD Entertainment, Medikaloka Hermina, MNC Tourism Indonesia, Raharja Energi Cepu, Semen Indonesia, and Transcoal Pacific.

Analysts estimate the aggregate rebalancing could trigger outflows between Rp 500 billion and Rp 1 trillion, concentrated in the stocks directly affected by the reshuffle.

Market Under Pressure Since January

Indonesian equities have been under sustained scrutiny from MSCI since the start of 2026, when the index provider flagged concerns over market accessibility and transparency. The IDX Composite has fallen 27.12 percent year-to-date, significantly underperforming regional peers.

On Thursday, the IDX Composite closed down 1.13 percent at 6,301.76, even as major Asian bourses rallied. Japan's Nikkei 225 added 1.16 percent and South Korea's KOSPI surged 3.56 percent, underscoring the divergence between Jakarta and the rest of the region.

The January warning from MSCI triggered a single-day drop of 6.3 percent in the IDX Composite on January 29, as investors repriced the risk of reduced foreign inflows. Index funds tracking MSCI benchmarks are typically required to mirror the composition, meaning deletions and downgrades often prompt automatic selling.

What Happens Next

Passive funds that track the MSCI Indonesia Investable Market Index will need to divest their GoTo holdings by the end of August. The stock's removal also reduces its visibility among international portfolio managers, many of whom use MSCI indexes as a starting point for stock selection.

For GoTo, the ejection adds to a series of operational and financial headwinds. The company has faced intensifying competition in both ride-hailing and e-commerce, pressure to demonstrate profitability, and a broader tech sector downturn across Southeast Asia.

The company's management has not yet commented publicly on the MSCI decision. Investors will be watching whether GoTo can engineer a turnaround that lifts its share price above the exchange minimum, a threshold that has effectively locked the stock in place for more than three months.

The Indonesia Stock Exchange is also under pressure to address structural issues that contributed to MSCI's concerns. Regulators have signaled plans to issue new guidance on demutualization in September, part of a broader effort to improve market transparency and attract foreign capital.