Prabowo's Push for an Indonesian Temasek: A New Era in State Investments

Indonesian President Prabowo Subianto plans to create a new investment agency similar to Singapore's Temasek to manage state investments more effectively. Muliaman Hadad, appointed to lead this agency, emphasizes consolidating scattered investments. This move requires parliamentary approval and may involve privatizing non-strategic state firms.

Indonesian President Prabowo Subianto is set to establish a new investment agency modeled after Singapore's Temasek, aiming to centralize state investments. Muliaman Hadad, chosen to lead this initiative, shared insights into this strategic shift on Tuesday.

After taking office recently, Prabowo has inducted over 100 key figures into his administration, including Muliaman Hadad, the former chief of the Financial Services Authority, to head the proposed Daya Anagata Nusantara Investment Management Agency. This move awaits parliamentary agreement.

The new agency aims to consolidate existing investments, engage with the State-Owned Enterprises Ministry and Indonesia Investment Authority, and possibly privatize non-strategic sectors. Prabowo's actions signal a potential shift in Indonesia's economic landscape, focusing on enhancing investor confidence and policy consistency.

(With inputs from agencies.)