Indonesia Listing Rules Free Float Proposal Aims to Steady Markets After Rout

Indonesia listing rules free float requirements are set to tighten after the stock exchange published draft proposals following a sharp sell-off that drew attention from index provider MSCI.

Under the plan, companies with pre-listing market capitalisation above IDR50tr (USD3.8bn) would need a minimum free float of 15% at IPO, up from 10%, while smaller issuers would face higher thresholds.

The draft also requires issuers to maintain the minimum free float for at least one year after listing and to restore it within two years if diluted by certain transactions.

OJK interim capital markets supervisor Hasan Fawzi said the regulation is targeted for March 2026.

The Indonesia listing rules free float changes are intended to improve liquidity and market quality after the recent bout of volatility.