JakartaGlobe-Sept 25
The Indonesian government and parliament agreed Thursday to dissolve the Ministry of State-Owned Enterprises (SOEs), marking a major restructuring of state corporate governance as the country’s new sovereign wealth fund, Danantara, assumes control of all state-owned assets. Under the plan, the ministry will be replaced by a new agency, with its official name and structure to be determined by President Prabowo Subianto. “The SOEs Ministry will be abolished and replaced with a new body. The designation and form will be decided by the President,” said Andre Rosiade, Deputy Chairman of the House Commission VI overseeing SOEs, following a legislative session in Jakarta. The decision came during deliberations on revisions to the SOEs law between the government and the House of Representatives. Lawmakers also approved the removal of a provision that had exempted SOE executives from being treated as state officials — a clause critics said had hindered corruption investigations. Another key change grants the Supreme Audit Agency (BPK) authority to audit SOEs, a move expected to strengthen transparency and accountability in state enterprise management. The move follows President Prabowo’s earlier decision to reassign former SOEs Minister Erick Thohir to the post of Youth and Sports Minister, leaving the SOEs portfolio vacant. The absence fueled speculation that the ministry would be disbanded — speculation now confirmed by legislators. Read more at: https://jakartaglobe.id/business/indonesia-to-disband-soes-ministry-amid-danantara-expansion
