Prabowo Targets Rp70 Trillion Savings by End of 2026 from SOE Streamlining

President Prabowo Subianto has stated that the streamlining of state-owned enterprises (SOEs) is expected to generate savings of Rp70 trillion by the end of 2026. Speaking during a parliamentary address in Jakarta on Friday, he noted that the consolidation process had already yielded significant overhead reductions. “With the streamlining of the number of SOEs, today alone we have saved around Rp50 trillion in overhead costs from commissioner salaries, building rent, and official travel. Our target is that by 31 December 2026, we must save Rp70 trillion,” Prabowo said.

He further emphasised that SOEs are the property of all Indonesian people and must not be exploited by any party, including those in power. “BUMN belongs to all Indonesian people. It does not belong to directors or commissioners. Nor is it a source of funds for the authorities,” he stated during the annual state address marking Indonesia’s 81st Independence Day.

Prabowo disclosed that when the government established the Daya Anagata Nusantara Investment Management Agency (Danantara), it discovered that the number of SOE entities was far larger than anticipated, totalling 1,074 when subsidiaries and sub-subsidiaries were included. He noted that many of these entities were unproductive and that the multiple layers of directors and commissioners were burdening operational costs.