Finance Minister Sri Mulyani said in Jakarta on Thursday that one of the rules set in PP 72/2016 regulates that any change in the SOE ownership will be made under the approval of the DPR.
"I would stress here that the DPR will be involved if there is a decision in the form of stake sale at the SOEs or at the SOE subsidiaries," the minister stated.
He added that Commission VI on SOE of the DPR still has a great authority and influence to control state enterprises and their subsidiaries.
Regarding displacement or foreclosure of assets in connection with the setting up of a holding firm, Mulyani stressed that the process will be carried out in coordination with ministries and state institutions to anticipate the financial implications.
Additionally, decisions that concern state ownership, such as divestment, capital participation and rights issue, are included in the state financial regime through the state budget mechanism, so that it should be passed by the House of Representatives.
"Whatever is done by SOEs is a corporate action, but if it concerns ownership, then it is included fully in the financial regime of the state. Although SOEs set up a holding firm, the role of the state is not at all deluded," he stated.
He remarked that SOEs are part of the states separate assets, but they are still included in the states balance sheet.
The government remains to have control of former SOE subsidiaries through the golden share ownership, and the SOE holding company is required to have a majority stake of more than 50 percent.(*)
Editor: Heru Purwanto
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