ASIATODAY.ID, JAKARTA – The President of the Republic of Indonesia, Prabowo Subianto officially launched the Anagata Nusantara Power Investment Management Agency (Danantara Sovereign Fund) on Monday, February 24 2025 at the Merdeka Palace. This agency is prepared to manage assets of up to US$980 billion.
“Today’s launch of Danantara has an important meaning because Danantara is not just an investment management body, but an instrument of national development,” said President Prabowo.
The launch of the Danantara Sovereign Fund was carried out after President Prabowo signed Law Number 1 of 2025 concerning the third amendment to Law Number 19 of 2003 concerning State-Owned Enterprises at the Presidential Palace. Then, Government Regulation Number 10 of 2025 concerning Organization and Governance of the Anagata Nusantara Power Investment Management Agency.
“I also signed Presidential Decree Number 30 of 2025 concerning the appointment of the Supervisory Board and Executive Board of Danantara,” he explained.
Danantara was established after the Plenary Meeting of the Indonesian People’s Representative Council, on Tuesday, February 4 2025, passed the Draft Law on State-Owned Enterprises into law.
This agency has a major role in consolidating the management of State-Owned Enterprises as well as optimizing dividends and investments.
First Wave of Investment Worth US$20 Billion
Prabowo said that the first wave of investment that would be allocated to Danantara was US$ 20 billion. These funds are money that was successfully secured by the government during 100 days of performance.
“We succeeded in securing more than US$20 billion in state savings. Funds that were previously hampered by inefficiency, corruption and inappropriate spending,” said Prabowo.
The funds will be invested in approximately 20 national strategic projects that focus on downstreaming or creating added value, including downstreaming nickel, bauxite, copper, oil refineries and building an artificial intelligence data center.
“The first wave of investment worth US$ 20 billion, in approximately 20 strategic projects worth billions of dollars, will focus on downstream nickel, bauxite, copper, construction of artificial intelligence data centers,” said Prabowo.
“Oil refineries, petrochemical plants, food and protein production, aquaculture and renewable energy. “These are the sectors that will determine our future, our resilience and the independence of our nation,” he continued.
Prabowo also believes that this investment will have a real impact on society, one of which is opening up job opportunities.
Furthermore, Prabowo emphasized that Danantara Indonesia is a historical milestone in Indonesia’s journey towards economic independence.
“Today, I am proud of my nation. I am proud of all parties who have worked hard to realize Danantara Indonesia because this is a historical milestone in Indonesia’s journey towards economic independence, resilience and prosperity,” he said.
Apart from that, Prabowo said, Danantara Indonesia is a strategic and efficient solution in optimizing State-Owned Enterprises.
“We will not only invest dividends from State-Owned Enterprises in industries that encourage long-term growth but will also transform our State-Owned Enterprises into world-class leaders in their respective sectors. Companies that are competitive, professional and integrated in the global economy,” he said.
BUMN Shade Danantara
The government targets this investment to contribute to national economic growth of 8 percent.
As a first step, seven strategic State-Owned Enterprises will be under the auspices of Danantara. The seven State-Owned Enterprises include PT Pertamina (Persero), PT PLN (Persero), PT Bank Rakyat Indonesia (Persero) Tbk, PT Bank Negara Indonesia (Persero) Tbk, PT Bank Mandiri (Persero) Tbk, PT Telkom Indonesia (Persero) Tbk, and MIND ID (Mining Industry Indonesia).
Based on Article 3E paragraph (1) in the State-Owned Enterprises Law, Danantara has the main task of managing State-Owned Enterprises, with several authorities, including:
- Manage dividends from Investment Holding, Operational Holding, and State-Owned Enterprises.
- Approve the addition/reduction of capital of State-Owned Enterprises sourced from dividend management.
- Approve the restructuring of State-Owned Enterprises, including mergers, acquisitions and business separation.
- Form investment holdings, operational holdings and new State-Owned Enterprises.
- Approved the write-off of claims on assets of State-Owned Enterprises.
- Consulting on the Work Plan and Budget for investment and operational holdings with the House of Representatives of the Republic of Indonesia. (AT Network)
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