Danantara Will Have No Voting Rights at KSSK, Finance Minister Says
Danantara Will Have No Voting Rights at KSSK, Finance Minister Says
Jakarta. Indonesia’s sovereign wealth fund Danantara will have no voting rights in meetings of the Financial System Stability Committee (KSSK) despite being invited to participate, Finance Minister Purbaya Yudhi Sadewa said on Tuesday.
President Prabowo Subianto has instructed that Danantara be included in meetings of the committee, whose permanent members are the finance minister, the governor of Bank Indonesia, the chairman of the Financial Services Authority (OJK) and the chairman of the Deposit Insurance Corporation (LPS).
Purbaya said Danantara Chief Executive Rosan Perkasa Roeslani would attend only in an advisory capacity.
“Under the law, KSSK may invite external parties, but Danantara will not have voting rights in the committee’s decisions. It will only provide input,” Purbaya told reporters in Jakarta.
He said Danantara’s participation would complement the committee’s deliberations by providing insights from the business sector, while KSSK members typically assess economic conditions through regulatory data and supervisory perspectives.
“As regulators, we usually rely on data. Sometimes the interpretation may not fully reflect developments on the ground. Danantara can enrich our discussions by providing additional information from the business side,” he said.
Separately, Telisa Aulia Falianty, a professor at the Faculty of Economics and Business, University of Indonesia, said the government should clearly define Danantara’s role within KSSK to avoid potential conflicts of interest.
She argued that discussions involving investment decisions that could affect financial system stability should not take place in meetings attended by Danantara.
Telisa said KSSK was established to safeguard financial stability by promoting prudent oversight and preventing activities that fail to comply with internationally recognized principles, including anti-money laundering standards.
She added that clearer rules governing cooperation between KSSK and Danantara would help preserve effective coordination without compromising the committee’s policy independence.
The need for clear boundaries is particularly important, she said, because Danantara oversees Indonesia’s state-owned banks, which are themselves subject to regulation and supervision by KSSK member institutions.
“If an institution that is itself subject to regulation participates in the regulatory forum, there is potential for a conflict of interest. Danantara oversees the state-owned banks, which are among the entities regulated by KSSK,” she said.
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