Indonesian Political, Business & Finance News

Danantara Sets Dividend Target of Rp150 Trillion, State-Owned Enterprises to Be Major Contributors

| Source: CNBC Translated from Indonesian | Finance
Danantara Sets Dividend Target of Rp150 Trillion, State-Owned Enterprises to Be Major Contributors
Image: CNBC

BPI Daya Anagata Nusantara (Danantara) has now set a dividend target of Rp150 trillion annually from state-owned enterprises. This move is part of a transformation of SOEs into productive investment instruments through a domestic Sovereign Wealth Fund scheme.

This ambitious target depends heavily on contributions from large state-owned companies. Several key sectors such as banking and energy are predicted to be the main pillars in achieving this dividend target.

Using a scenario in which Pertamina sets a Dividend Payout Ratio (DPR) of 20% (on 2024 profits of approximately Rp49.54 trillion, generating dividends of Rp9.91 trillion) and PT Pelindo (Persero) sets a DPR of 30% (on 2024 profits of Rp3.58 trillion, generating dividends of Rp1.07 trillion), Pelindo uses industry market averages.

The following is the total dividend contribution from the top 10 SOEs (based on 2024 financial year profits):

  • PT Bank Rakyat Indonesia (BBRI) - Rp27.52 Trillion

  • PT Bank Mandiri (BMRI) - Rp22.62 Trillion

  • MIND ID (Mining Holding) - Rp20.10 Trillion

  • PT Telkom Indonesia (TLKM) - Rp10.96 Trillion

  • PT Pertamina (Persero) - Rp9.91 Trillion

  • PT Bank Negara Indonesia (BBNI) - Rp8.37 Trillion

  • PT Perusahaan Listrik Negara (PLN) - Rp3.35 Trillion

  • PT Pupuk Indonesia (PIHC) - Rp2.95 Trillion

  • PT Pelabuhan Indonesia (Pelindo) - Rp1.07 Trillion

  • PT Bank Syariah Indonesia (BRIS) - Rp0.85 Trillion

TOTAL (10 Companies): Rp107.70 Trillion. Remaining gap: Rp42.30 Trillion

Analysing the Rp42 Trillion Gap and Portfolio Reality

This prudent scenario calculation yields total dividend contributions from the top 10 SOEs of Rp107.70 trillion.

This figure presents two important facts. First, a “gap” or shortfall of Rp42.30 trillion emerges to reach the ideal target of Rp150 trillion.

Second, a question arises: can this gap be closed by hundreds of other SOEs and subsidiaries outside the top 10? The answer is virtually impossible when viewed through historical data.

Ground reality, also acknowledged by Danantara management, reveals extreme concentration of profitability. More than 90% of total SOE dividends come solely from these 10 elite companies.

The remaining BUMN portfolio (approximately 1,000+ entities) consists largely of companies operating under Public Service Obligation (PSO) requirements, with small-scale business operations, or even suffering chronic losses.

Collectively, dividend contributions from SOEs outside the top 10 are estimated at only around Rp1-4 trillion, a negligible figure unable to close the Rp42.30 trillion gap.

This means that to sustainably achieve the Rp150 trillion target, Danantara cannot depend on “remaining SOEs”. Danantara must actively increase the profitability of its existing portfolio.

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