"I have indeed set a high target. If it is achieved it means BUMNs (state-owned companies) have functioned as development agents and supporters of national economic growth," Rini Soemarno said.Jakarta (ANTARA News) - Indonesias State Enterprises Minister Rini Soemarno has said she has set a target for increasing the total value of assets owned by the countrys state-owned companies to Rp7,000 trillion by 2019, up from Rp5,000 trillion projected for this year.
"I have indeed set a high target. If it is achieved it means BUMNs (state-owned companies) have functioned as development agents and supporters of national economic growth," she said at a meeting with around 1,000 state-owned company officials here on Thursday.
Rini further stated that BUMNs profits are also expected to touch Rp300 trillion, surging from a target of Rp170 trillion set for this year.
She explained that in line with their functions and tasks, BUMNs are expected to become one of the pillars of the countrys economy that will contribute directly to the states budget through taxes and dividends.
To meet these obligations, she said BUMNs have applied the four-pillar strategy covering synergy between BUMNs, downstreaming local contents, integrated regional economic development and financial self-sufficiency and creating added value.
"If we are offered competition, we have to become better," Rini said.
In view of that, in the past two years Rini has always emphasized on the need to increase professionalism at BUMNs.
"We must be able to show to all parties that BUMNs really work and operate to increase contributions to the state and think of how to improve the welfare of the people," she added.
One of the strategies that are being followed by her office is establishing holding companies for six sectors covering mining, energy, financial service, housing, toll road and food, which are expected to be completed by the end of this year.
"I hope the holding companies will be able to boost efficiency and in turn improve competitiveness at the national, regional as well as international levels," she said.
Rini said she hoped that 19 of the companies would be included in the list of 2000 best companies in Forbes by 2019, up from only four in 2014.(*)
Editor: Heru Purwanto
Copyright © ANTARA 2016