Consolidation of state-owned insurance firms targeted for completion in 2026

Jakarta - BP BUMN and Danantara Indonesia are targeting the completion of the consolidation process for state-owned insurance companies under the Indonesia Financial Group (IFG) umbrella by 2026. “This consolidation is an important step to strengthen the state-owned insurance industry so that it becomes healthier, more efficient, and competitive,” said Head of BP BUMN and Chief Operating Officer of Danantara Indonesia, Dony Oskaria, in an official statement confirmed on Wednesday. To discuss the progress of the process, Dony held a meeting with IFG President Director Hexana Tri Sasongko on 17 June 2026. The discussion focused on business integration, strengthening governance, capital optimisation, and developing synergies between entities that will become part of the consolidated company. Both parties also discussed various strategic measures to ensure the integration process runs effectively and provides long-term added value. Dony stated that the consolidation is expected to become the foundation for establishing a more integrated state-owned insurance ecosystem capable of meeting evolving market needs. The ongoing transformation is also expected to produce a stronger business scale, improve operational efficiency, strengthen underwriting and investment capacity, and expand the company’s ability to provide protection to the public and the business world. By strengthening the state-owned insurance industry, BP BUMN and Danantara hope the insurance sector can play a greater role in supporting financial system stability, increasing national insurance penetration, and supporting Indonesia’s economic financing and development.