Indonesian Political, Business & Finance News

Government to Merge 15 State-Owned Logistics Firms into Single Entity, Targeting Completion within Next Month

| Source: VIVA Translated from Indonesian | Business
Government to Merge 15 State-Owned Logistics Firms into Single Entity, Targeting Completion within Next Month
Image: VIVA

The State-Owned Enterprises Regulatory Agency (BP BUMN) is accelerating the consolidation of 15 SOEs in the logistics sector into a single business entity, targeted to be completed within the next month.

Head of BP BUMN Dony Oskaria stated that this consolidation process is part of the SOE business transformation, expected to strengthen the competitiveness of SOEs. In addition, he hopes that this transformation will make the benefits of SOE logistics more accessible to the Indonesian public.

“We will consolidate 15 (logistics SOEs); the process has already begun. Insha’Allah, it will be completed within this month, and we will announce that the 15 companies will become one national logistics company,” he said on Tuesday, 7 April 2026.

Previously, BP BUMN stated that PT Pos Indonesia is expected to serve as the anchor company in this consolidation. That company will subsequently oversee SOE subsidiaries in the logistics ecosystem, such as PT Semen Indonesia Logistik, PT Pupuk Indonesia Logistik, and PT KAI Logistik.

Dony added that the consolidation process is part of the SOE restructuring targeted for completion this year. This consolidation is expected to optimise SOE business capabilities and create more effective and efficient business processes.

“Insha’Allah, hopefully the SOE transformation process will accelerate further, and its benefits will be increasingly felt by the Indonesian public,” he added.

Previously, President Prabowo Subianto has emphasised on several occasions the importance of rationalising the number of SOEs through restructuring. According to him, this step is expected not only to increase efficiency but also to strengthen the global competitiveness of SOEs.

He assessed that the effectiveness of this restructuring has been proven when the government established the Danantara Investment Management Agency (BPI) in February last year, which reportedly achieved a return on assets (ROA) of 300 per cent in its first year.

“So, our premise turns out to be correct. Consolidation with rational management, with the world’s best standards, the return on assets I received is above 300 per cent,” Prabowo stated in his speech at the Danantara’s one-year anniversary event last month.

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