Economist: Danantara's IFSWF membership boosts investor confidence

Economist from Andalas University, Fajri Adrianto, assessed that the inclusion of Indonesia’s investment holding Danantara, PT Danantara Investment Management (DIM), as an associate member of the International Forum of Sovereign Wealth Funds (IFSWF) will boost global investor confidence in Indonesia’s investment climate. The move also marks international recognition of Danantara’s efforts to build investment governance of a global standard, as well as acknowledgement of it as an institution developing a Sovereign Wealth Fund (SWF). “If it consistently implements the Santiago Principles and actively participates in IFSWF programmes, DIM has the opportunity to become a Full Member. This binds the commitment to continuously strengthen accountability and transparency in the management of state assets,” Fajri said in an official statement in Jakarta on Monday. According to Fajri, the consistent application of governance will have a direct impact on the quality of Danantara Indonesia’s future investment management. He assessed that DIM’s seriousness in implementing IFSWF principles will be a factor in increasing investor confidence, both domestic and international. “The biggest challenge for Danantara is maintaining consistency and discipline in implementing IFSWF governance principles. The principles of governance, investment, and risk management must truly serve as the umbrella for every investment decision. That consistency will ultimately determine the level of long-term investor confidence,” Fajri said. Danantara Indonesia’s investment holding, DIM, was officially accepted as an associate member of the IFSWF after its membership application was approved by the IFSWF Board in early 2026. Danantara Indonesia’s Chief Investment Officer, Pandu Sjahrir, stated that joining the IFSWF reflects Indonesia’s commitment to world-class governance, transparency, and accountability. “As Indonesia’s national asset manager, we are determined to build an institution that meets the highest international standards so that we can carry out our investment mandate for the people of Indonesia,” Pandu said. Pandu added that DIM’s entry as an IFSWF member marks the institution’s commitment to implementing international best practices in governance, transparency, and responsible investment for SWFs. As an Associate Member, DIM joins a global network of SWFs committed to upholding the Santiago Principles, which are 24 Generally Accepted Principles and Practices internationally recognised as standards for governance, investment, and risk management for SWFs. Membership in the IFSWF opens opportunities for DIM to engage in knowledge exchange with the world’s leading SWFs, as well as to participate in various programmes and share insights organised by the Forum. It also allows DIM to align its governance framework with global standards to ensure the highest levels of transparency and accountability.