Prabowo Has Closed 290 State-Owned Enterprises, Saving Rp 50 Trillion

President Prabowo Subianto has reported that the government has closed 290 state-owned enterprises (BUMN). The streamlining is claimed to have resulted in overhead cost savings of around Rp 50 trillion.

Speaking at the MPR Annual Session and the Joint Session of the DPR and DPD in commemoration of the 81st Anniversary of the Republic of Indonesia at the Nusantara Building, Parliament Complex, Senayan, Central Jakarta, on Friday (14/8/2026), Prabowo stated, ‘Today I report to this honourable Assembly, we have closed 290 BUMNs.’

Prabowo explained that the Rp 50 trillion in savings means that each year, that amount of budget is no longer spent on financing the salaries of directors and commissioners, as well as expenditure items deemed unproductive. ‘That money is now being used for investment, for industrialisation, for improving services, and for things that directly benefit the people,’ he said.

According to Prabowo, the pruning measures originated from findings when the government formed the Daya Anagata Nusantara Investment Management Agency (Danantara). At that time, there were 1,074 BUMNs recorded when including subsidiaries and sub-subsidiaries. Prabowo assessed that there were too many unproductive entities, simultaneously accumulating layers of directors and commissioners that burdened operational costs.

The closure process does not stop at 290. Prabowo is targeting a drastic reduction in the number of BUMNs by the end of this year. ‘By the end of this year, we are targeting to have a maximum of only 300 BUMNs. We will close more than 750 BUMNs. Only the productive ones, only those that create added value will we maintain,’ he stated.

Prabowo described the action as a massive-scale corporate restructuring. ‘This is possibly the largest corporate restructuring in the world,’ he remarked. At the same forum, Prabowo also emphasised that BUMNs belong to all Indonesian people, not to directors or commissioners, and are not a source of funds for those in power. He stated that the restructuring is the implementation of the mandate of the 1945 Constitution to safeguard the nation’s wealth for the enjoyment of all the people.