LMAN explains why certain assets remain government-managed

JAKARTA (ANTARA) – The State Asset Management Agency (LMAN) has explained why seized state assets, including those from the former Bank Indonesia Liquidity Assistance (BLBI) program, remain under government management rather than being handed over to private entities. Director General Kristijanindyati Puspitasari stated on Monday in Jakarta that the management of these assets is part of a government mandate, as those under LMAN’s purview remain classified as state property (BMN). This is because there are still several issues that need to be resolved by the government regarding these assets, including mortgage rights and long-term land occupation by certain parties. “LMAN is carrying out its duties as mandated. These assets are not free and clear – meaning they are from former BPPN, BLBI, and PPA. There are still matters that need the government’s attention, and they remain state assets,” Kristi said during a hearing with the DPR’s XI Commission in Jakarta on Monday. Currently, asset management is handled by a public service agency (BLU) under the Finance Minister, with the State Property Directorate General (DJKN) setting policy and LMAN executing operational functions. Kristi argued that government involvement remains necessary as these assets are tied to national rights that must be safeguarded. Once secured, these assets are optimised to generate non-tax state revenue (PNBP). “Why not hand them over to the private sector, and why manage them as a civil servant? We must also have capabilities beyond bureaucracy, but with BLBI assets – which are former BPPN – the government must step in to settle Bank Indonesia’s mortgage rights. Such issues mean these assets are national property,” Kristi explained. It is known that in 2025, LMAN contributed Rp4.2 trillion from state asset management, exceeding the annual target by 158.2 per cent. Kristi’s remarks came in response to DPR XI Commission Chairman Mukhamad Misbakhun, who questioned the bureaucratic management model of state assets. Misbakhun believes these assets should be handed over to the public or private entities for management, while the government focuses on regulation and policy-making. “Why not hand them over to the people? The public can manage them while bureaucrats focus on regulation and other matters,” he said.