SOE performance serves as foundation for national economy: Danantara

Jakarta (ANTARA) - The positive performance of state-owned enterprises (BUMN)—particularly within the banking sector—serves as a crucial foundation for strengthening the national economy, according to Indonesia’s investment management agency Danantara.

“State-backed banks play a strategic role in driving domestic economic growth,” COO of Danantara Indonesia Dony Oskaria noted in his statement on Thursday.

Dony, who also serves as Head of the SOE Regulatory Agency, emphasized that financial support must continue to be directed toward productive sectors capable of creating employment, increasing competitiveness and delivering a tangible impact on society.

According to him, financing for the manufacturing sector, natural resource downstreaming, infrastructure development as well as the empowerment of micro, small, and medium enterprises (MSMEs) must be continuously fortified to generate a broader multiplier effect for the national economy.

At the same time, he noted that strengthening corporate governance and risk management remains a primary prerequisite for sustainable institutional transformation.

Simultaneously, the CEO of Danantara Indonesia and Investment and Downstreaming Minister Rosan Roeslani, stated that the strength of state firms is measured not only by asset size or profitability but also by their contribution to national development.

Rosan revealed that the combined market capitalization of the State-Owned Bank Association (Himbara) currently reaches around Rp1,100 trillion (approximately US$65.47 billion), which accounts for roughly 10 percent of the total value of all listed companies in Indonesia.

He added that the banking sector must look beyond profit generation to ensure its presence benefits the public by providing equal opportunities across all levels, including MSMEs, commercial entities and large corporations.

According to data from Danantara, a number of strategic state enterprises recorded significant profit growth throughout the April 2025–April 2026 period.

State-owned fertilizer firm PT Pupuk Indonesia saw its consolidated net profit rise from Rp1.59 trillion (US$94.64 million) to Rp4.82 trillion (US$286.90 million).

During the same period, state energy company PT Pertamina (Persero) logged a profit increase from Rp13.9 trillion (US$827.38 million) to Rp24.97 trillion (US$ billion).

Turnarounds and growth were also recorded across the logistics, manufacturing and financial sectors.

State steelmaker PT Krakatau Steel successfully turned a previous loss of Rp981 billion (US$58.39 million) into a net profit of Rp635 billion (US$37.79 million). This turnaround aligned with the company’s success in reducing its debt burden from US$1.7 billion down to US$1.1 billion.

Meanwhile, state financial holding firm PT Danareksa reversed a loss of Rp72 billion (US$4.28 million) to post a profit of Rp43 billion (US$2.55 million).

Similar financial improvements were observed at state pharmaceutical firm PT Kimia Farma, which rebounded from a loss of Rp160 billion (US$9.52 million) to a profit of Rp108 billion (US$ million), and defense electronics firm PT Len Industri, which turned a loss of Rp228 billion (US$13.57 million) into a profit of Rp314 billion (US$18.69 million).

Additionally, cement maker PT Semen Indonesia reversed a previous loss of Rp66 billion (US$3.92 million) to record a net profit of Rp106 billion (US$6.30 million).

Related news: Indonesia launches major restructuring of state construction firms

Related news: Danantara plans to link all SOE whistleblowing systems with KPK

Related news: Indonesia pledges no job cuts as SOEs shrink to 250

Translator: Rizka Khaerunnisa, Yashinta Difa

Editor: Azis Kurmala

Copyright © ANTARA 2026