Published on April 3, 2026
The Indonesian government has reiterated its commitment to strengthening the role of state-owned enterprises (SOEs) in the country’s national development efforts. This move comes as President Joko Widodo’s administration aims to maximize the contributions of SOEs in various sectors, including infrastructure, health, and education, amid ongoing economic challenges.
During a recent cabinet meeting, President Widodo emphasized that SOEs must become more competitive and innovative to effectively contribute to national growth. He stated, “State-owned enterprises are at the forefront of our development strategy; their performance directly impacts the economy and the welfare of the people.”
The government’s plan includes enhancing the capabilities of SOEs through investments in technology and human resources. Additionally, there is a push for better collaboration between SOEs and private sector entities to stimulate economic activity and attract foreign investment.
Finance Minister Sri Mulyani Indrawati highlighted the importance of transparency and accountability in SOEs, urging them to adopt best practices in governance. “We must ensure that these enterprises operate efficiently and sustainably. Their success will reflect on the nation’s economic health,” she noted.
The administration has also initiated several reforms aimed at optimizing the performance of SOEs. These reforms include streamlining bureaucratic processes and reducing regulatory barriers that hinder their operations. The government believes that a more conducive environment, SOEs can play a vital role in driving economic recovery and resilience.
In recent months, SOEs have been pivotal in responding to the COVID-19 pandemic, supporting healthcare initiatives, and contributing to the country’s economic rebound. The government recognizes this vital contribution and is keen to see SOEs expand their roles in various sectors, there position as engines of growth.
As Indonesia looks to the future, the potential of SOEs remains a key focus for policymakers, particularly in the face of global economic uncertainties. The government’s commitment to strengthening these enterprises reflects a broader strategy to leverage national resources for sustainable development and to ensure that Indonesia remains competitive on the global stage.
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