April 20 (Reuters) - Global index provider MSCI ( MSCI )

said on Monday it will maintain curbs on Indonesian stocks in

its global indexes for the May index review as it evaluates

market transparency reforms announced by the Southeast Asian

country.

MSCI ( MSCI ) warned in late January that the $1.4 trillion G20

economy could face a downgrade from "emerging" to "frontier"

market status as a result of transparency problems in ownership

and trading, leaving investors scrambling for the exits.

Indonesia completed key stock market reforms ahead of a May

review deadline, including changes to shareholder disclosure and

a roadmap to raise minimum free float requirements.

MSCI's ( MSCI ) January warning has wiped out about $120 billion in

market value from Jakarta's stock market.

The index provider said on Monday it is reviewing the scope,

consistency, and effectiveness of new data sources and

regulatory measures announced by Indonesia's financial

authorities and that it will give further updates in a June

review.

For the May review, MSCI ( MSCI ) will continue to freeze increases

to foreign inclusion factors and the number of shares for

Indonesian securities. It will also refrain from adding

Indonesian stocks to its investable market indexes or allowing

any upward migration across size segments, including moves from

small-cap to standard indexes.