Danantara CEO Emphasises the Importance of Financial Data Transparency in SOEs

Rosan Roeslani, who serves as CEO of Danantara, recently delivered a crucial message directly to the directors and commissioners of State-Owned Enterprises (SOEs) across Indonesia. This message emphasised the importance of maintaining the integrity of company financial data as the foundation of good governance.

This important message was conveyed by Rosan at a prestigious forum specifically designed for executive-level leadership development. The forum, known as the CEO Development Program, serves as a strategic discussion arena for top corporate leaders.

The main focus of Rosan’s warning was on preventing highly damaging practices, namely financial engineering. This practice is often carried out to mislead public perception regarding the actual performance of the company.

Financial engineering involves accounting manoeuvres to make a company’s financial statements appear far superior to their actual fundamental condition. This clearly threatens public and investor confidence in SOEs.

Cited from MEDIAKOMPETEN.CO.ID, Rosan explicitly called on SOE leaders to stop all efforts to polish data merely for the sake of image. Honesty in reporting must be the top priority above all else.

“Preventing practices known as financial engineering must be the primary commitment of SOE leaders at this time,” stated Rosan Roeslani. This statement underscores the urgency of transparency in every financial report published.

The purpose of this warning is to ensure that the SOE performance presented to stakeholders reflects honest and accountable operational reality. Data manipulation will only cause long-term losses for these state entities.

With this emphasis, it is hoped that all SOE managements will promptly re-evaluate their procedures for preparing and publishing financial data. Data integrity is a reflection of responsible leadership commitment.