November 14, 2025 | 08:11 pm
TEMPO.CO, Jakarta - The Daya Anagata Nusantara Investment Management Agency (BPI Danantara) has announced plans to drastically cut the number of state-owned enterprises (SOEs) from over 1,000 to approximately 200. Febriany Eddy, Managing Director of Danantara Indonesia, stated that the reduction is necessary due to the significant financial losses incurred by many SOEs.
“More than a thousand direct and indirect SOEs (including parent and subsidiary companies) that we own, almost half of them are incurring losses. These companies were established under a very different context compared to today,” she said during an interview at her office on Friday, November 14, 2025.
This consolidation plan was previously communicated by President Prabowo Subianto during a dialogue with the Chair of Forbes Media, Steve Forbes, at the Forbes Global CEO Conference 2025 in St. Regis on Wednesday, October 15, 2025. The President instructed Danantara to reduce the number of SOEs to between 200 and 240.
Febriany attributed past SOE losses to detrimental actions and poor business decisions. Moving forward, these issues will be addressed to make the SOEs more efficient, focused, and profitable across all sectors.
"We will consolidate, balance, and only liquidate what we absolutely cannot save," she added.
She specifically pointed out that the lack of synergy in SOE operations has led to internal competition, particularly evident in the aviation sector. For example, she noted that Garuda Indonesia and Citilink, despite being part of the same corporate family, have caused internal cannibalization on certain flight routes. Competition also exists between the Garuda group and Pelita Air.
Febriany stated that the streamlining process will not be based solely on profitability; Danantara will also consider specific business sectors and their strategic fit. "If it is profitable but not in our main focus sector, it will be a distraction," she stated.
The management of Danantara hopes that reducing the number of SOEs will bring significant benefits and value to Indonesia. To accomplish this major task, Febriany stressed the importance of partnerships with various parties.
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