TEMPO.CO, Jakarta – Indonesian President Prabowo Subianto met with Investment and Downstream Industry Minister Rosan Roeslani, who also serves as Chief Executive Officer of sovereign wealth fund Danantara Indonesia, to review progress on the government's state-owned enterprise (SOE) consolidation program.
The meeting took place at Prabowo's private residence on Kertanegara IV Street in South Jakarta on Sunday, June 21, 2026, according to Cabinet Secretary Teddy Indra Wijaya.
Teddy said the discussion focused on the ongoing restructuring of Indonesia's state-owned enterprises, a key initiative aimed at improving efficiency and strengthening corporate governance.
"The consolidation and transformation process of SOEs is continuing. Out of approximately 1,077 SOE entities, around 258 have already been successfully consolidated," Teddy said, citing Rosan's report to the president.
The government plans to continue reducing the number of state-owned entities, with a near-term target of around 300.
"This step is expected to improve efficiency, strengthen governance, and reduce the financial burden on the state," Teddy said.
Prabowo first instructed Danantara to streamline Indonesia's vast network of state-owned enterprises in 2025. The long-term goal is to reduce the number of SOE entities from roughly 1,000 to between 200 and 240.
"I have instructed Danantara's leadership to rationalize everything, reducing the number of SOEs from 1,000 to a more manageable figure—perhaps 200, 230, or 240," Prabowo said during a dialogue with Forbes Media Chairperson Steve Forbes at the 2025 Forbes Global CEO Conference in Jakarta.
The president has argued that a leaner SOE structure would enable state-owned companies to operate according to international standards and improve returns by an estimated 1 to 2 percentage points.
Prabowo has also directed Danantara to recruit top talent to lead the restructured enterprises. To support this effort, the government has amended regulations to allow foreign professionals to hold leadership positions in state-owned companies.
Read: PLN Says Java's Rolling Blackouts Are Starting to Decline
Click here to get the latest news updates from Tempo on Google News
Jakarta Braces for Three Protests Across the City Today
4 jam lalu
Three different groups are set to hold protests in Jakarta on Monday, June 22, 2026. Each group has different demands.
Indonesian Islamic Student Group to Hold Anti-Government Protest Today
4 jam lalu
The Islamic Student Movement of Indonesia (PB PMII) will hold a protest today to demand five points, one of which is Prabowo's cabinet reshuffle.
Prabowo Extends Birthday Wishes for Former President Jokowi
18 jam lalu
President Jokowi celebrates his 65th birthday today, on Sunday, June 21, 2026.
Fact Check: No New Rupiah Banknotes Featuring Prabowo and Gibran to Be Issued in June 2026
23 jam lalu
Fact check - The circulating images of new rupiah banknotes featuring President Prabowo and VP Gibran are created by artificial intelligence (AI).
Today's Top 3 News: Youngest Players in the 2026 World Cup, BTS Jakarta Show
1 hari lalu
Here is the list of the top 3 news on Tempo English today.
Prabowo Eyes Indonesia Host Bid for FIFA ASEAN Cup
1 hari lalu
President Prabowo Subianto backs a plan for Indonesia to host the inaugural FIFA ASEAN Cup 2026.
Fact Check: Did Prabowo Abolish the Free Nutritious Meal Program in June 2026?
1 hari lalu
Tempo's Fact Check Team found that, despite several organizations urging its abolition, President Prabowo continued the Free Nutritious Meal program.
Prabowo Pushes PSSI to Improve Football Structure for World Cup Bid
2 hari lalu
Prabowo Subianto and Erick Thohir are providing instructions related to developing Indonesian football and preparing the national team.
Prabowo Vows Full Support for Indonesia's 2030 World Cup Bid
2 hari lalu
Prabowo Subianto has pledged full support for the Indonesian national football team ahead of the 2030 FIFA World Cup qualifiers.
Why Did Prabowo Summon John Herdman, Erick Thohir to Hambalang?
2 hari lalu
PSSI chair Erick Thohir and the national football team coach John Herdman visited Prabowo's residence in Hambalang. What did they discuss?
