JAKARTA, thekabarnews.com—Indonesia’s sovereign investment authority Danantara has streamlined or closed 364 state-owned companies and subsidiaries as it seeks to reduce a sprawling portfolio of 1,074 entities to fewer than 200 by 2030.

Danantara Chief Operating Officer Dony Oskaria announced the progress at the Danantara Technology Innovation and Investment Forum (DTIIF) at Fairmont Jakarta on Monday, Oct. 26. The restructuring forms the first stage of Danantara’s five-year transformation roadmap.

“We will eventually have less than 200 companies under Danantara Indonesia,” Dony said.

Danantara plans to restructure at least 750 entities by the end of 2026 through consolidation, mergers, divestments and liquidation. That figure represents a cumulative year-end target, rather than an additional 700 closures after the 364 already completed. On a comparable basis, Danantara would need to address about 386 more entities to reach the target.

“We hope that by the end of this year, we will have closed at least 750 companies under Danantara Indonesia through consolidation, mergers, divestments and liquidation,” Dony said, as quoted by Media Indonesia.

The program targets companies that record persistent losses, duplicate functions or operate outside their parent groups’ core businesses. Danantara has also identified more than 500 cases involving liabilities or receivables between companies in the state-owned enterprise ecosystem.

Dony said overlapping corporate structures had raised operating expenses. In some supply chains, several companies within the same state-owned group charged margins to one another. This made final costs significantly higher than those of competitors.

Danantara’s review found that 52 percent of the entities under assessment were losing money, with combined annual losses estimated at Rp20 trillion. Furthermore, inefficiencies from layered transactions cost another US$2 billion annually, Dony said.

He estimated that the restructuring could eventually deliver savings of as much as US$3.5 billion per year. The figures from Dony’s forum presentation.

The authority has also recorded Rp135 trillion in impairments over the past 16 to 18 months to correct earlier asset valuations and other accounting entries.

Dony said Danantara had considered loss-cutting proposals involving Telkom and several other state-owned companies to prevent prolonged financial pressure.

The cleanup comes as Danantara targets Rp360 trillion in consolidated net profit for 2026 and at least Rp200 trillion in dividends. Dony said only eight companies currently generate about 97 percent of dividends across the portfolio.

“This year, we plan to book Rp360 trillion in profit—real profit,” he said.

The restructuring does not mean every affected company will be liquidated. Some will disappear through mergers, while Danantara may divest or reorganize others. The program’s financial impact will therefore depend on its execution and confirmation through audited consolidated accounts.