Finance Minister says Danantara will keep SOE dividends for investment, not budget
Finance Minister Suahasil Nazara announced that Danantara will retain dividends from state-owned enterprises for project funding and to attract private capital, rather than transferring them to the state budget.
In an interview, Finance Minister Suahasil Nazara clarified that dividends from state-owned enterprises collected by the state asset fund Danantara will not appear in the upcoming state budgets. Instead, Danantara will hold the funds to finance development projects and act as a catalyst for private sector participation, freeing the budget to prioritize basic services, infrastructure, and social protection. The statement contrasts with an earlier proposal by former minister Purbaya Yudhi Sadewa, who had intended to remit about Rp 120 trillion as a fiscal buffer after a cabinet meeting with President Prabowo Subianto.
Danantara CEO Rosan Roeslani previously disputed that any such transfer had been agreed. The shift underscores the ministry’s focus on fiscal discipline and leveraging state assets for growth rather than direct budgetary inflows.
Why it matters
The decision changes how Indonesia will fund public projects and could affect private investment dynamics.
In this story
