JAKARTA, RAKYAT NEWS – Indonesia’s newly launched sovereign wealth fund, Danantara, has assured the public that it will not use customer funds from state-owned banks for its operational capital.

Dony Oskaria, Head of Operations at Danantara, emphasized that the fund will rely on government capital injections and dividends from state-owned enterprises (BUMN) to finance its activities. This announcement came during the official launch ceremony at the Merdeka Palace in Jakarta on Monday, February 24, 2025.

Danantara, led by Rosan Roeslani, aims to consolidate assets from all BUMN entities to create globally competitive companies. Initially, the fund will oversee seven major state-owned enterprises, including PT Bank Mandiri, PT Bank Rakyat Indonesia, PT Bank Negara Indonesia, PT Telkom Indonesia, and PT Mineral Industri Indonesia (MIND ID). The consolidation process is expected to enhance the value of these assets and position them as global champions.

President Prabowo Subianto has set an ambitious target for Danantara’s first wave of investments, aiming to allocate approximately $20 billion (around Rp 325.56 trillion) into strategic sectors. These include mineral downstreaming projects for nickel, bauxite, and copper, as well as investments in data centers, artificial intelligence, oil refineries, petrochemical plants, food production, aquaculture, and renewable energy projects.

Pandu Patria Sjahrir, Head of Investment at Danantara, clarified that the $20 billion investment fund will be sourced entirely from Danantara’s internal cash reserves. These reserves are derived from initial government capital injections and annual dividends from BUMN entities. This approach ensures that the fund operates independently without relying on public or customer funds.