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We've just released InDesign 17.2.1 version which addresses this issue.
Please update to this latest version using Creative Cloud Desktop application.
In case the fix does not work immediately for you, please try the following:
1) Quit InDesign.
2) Delete the following:
Relaunch InDesign & see if it works properly now.
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Having this issue on mac os 10.15.7 and only in Indesign. On rolling back to Indesign 17.0 some fonts still not being recognised, while are fine in other apps, including Adobe apps