Indonesia's stock market capitalization has fallen significantly, resulting in Singapore overtaking it as Southeast Asia's largest market. This decline is attributed to investor sentiment soured by recent uncertainties.

Indonesia continues to notch one grim milestone after another. The latest: losing its status as Southeast Asia’s largest stock market to Singapore. The total market capitalisation of Indonesian-listed companies has fallen well over 30 per cent from a peak in January to US$618 billion, while Singapore’s has climbed to US$645 billion, according to data compiled by Bloomberg. Investor sentiment in Indonesia has increasingly soured in recent months amid uncertainties over a potential equities...