Luhut's Message to Danantara: Create Jobs
Jakarta, CNBC Indonesia – Luhut Binsar Pandjaitan, Chair of the National Economic Council (DEN), is pushing Danantara Indonesia to become an engine of growth for the national economy through investments capable of delivering tangible impact for the public.
Luhut conveyed the message when receiving the leadership of Danantara Investment Management to finalise the national strategic investment plan for 2027. The meeting also discussed steps to strengthen Danantara’s role in driving economic transformation, industrial self-reliance and bureaucratic efficiency, in line with President Prabowo Subianto’s directives.
According to the presentation received by DEN, Danantara Indonesia’s total capital in 2025 reached Rp310 trillion. This figure is projected to increase significantly, by two to three times, over 2026–2027, to between Rp620 trillion and Rp930 trillion.
“I emphasise that investment must not be judged solely by the size of the numbers on paper. The main indicators are tangible impacts: creating jobs, strengthening national industry, encouraging technology transfer, and reducing our dependence on imports,” Luhut said in an official statement.
According to Luhut, the success of an investment is measured not only by the size of the funds managed, but also by its contribution to economic development and improved public welfare.
To achieve these targets, Danantara continues to expand its strategic investment portfolio throughout 2026, both domestically and internationally.
Priority investment sectors include the energy transition, international oil and gas projects, the development of artificial intelligence (AI) ecosystems, and large-scale food platforms.
In addition, Danantara is prioritising the development of a regional protein ecosystem. This investment aims to expand Indonesia’s market access whilst promoting technology transfer to boost the competitiveness of the national food sector.
During the meeting, DEN and Danantara also agreed on the need to improve the Incremental Capital Output Ratio (ICOR) as an indicator of investment efficiency.
This will be pursued through various structural reforms, including regulatory simplification, accelerated licensing, and a more transparent integrated investment system.
Luhut considers these steps essential to reduce the high economic costs that have long been an obstacle to investment and national economic growth.
“DEN fully supports strengthening Danantara’s role so that it is given broad room to manoeuvre. Because what we must safeguard is not only the growth in investment value, but the courage and determination to ensure that every rupiah managed genuinely works for the people and for Indonesia’s future,” Luhut asserted.