"Today, we will update the process of dissolving seven SOEs, which is an update regarding the SOE transformation started by (SOEs) Minister Erick Thohir in 2019, which is now entering its fourth year," Wirjoatmodjo informed at a press conference here on Friday.
According to him, the forms of state enterprise consolidation are diverse such as holdingization, mergers, and handling of problematic SOEs.
Currently, there are 41 SOEs under the SOEs Ministry. The ministry is targeting to have less than 40 SOEs that will be divided into 12 clusters.
Earlier, 114 state enterprises were downsized to the current 41 SOEs.
To handle SOEs that have run into financial and business problems, the ministry has formed Danareksa Holding and PT Perusahaan Pengelola Aset (PPA).
Danareksa is managing and scaling small SOEs up so they can become large SOEs. Meanwhile, PT PPA has a unique function: it is handling SOEs carrying out restructuring and those that are no longer viable. If they cannot contribute anymore, then they are dissolved.
"Thus, there are seven SOEs that have been dissolved. We are committed to completing the transformation of SOEs," Wirjoatmodjo said.
He added that dissolution will only be carried out if a state enterprise cannot be assisted anymore, both from a business and financial point of view.
The Ministry of SOEs dissolved seven SOEs on Friday. They are airline company Merpati, construction firm Istaka Karya, paper factory PT Kertas Leces, kraft paper producer Kertas Kraft Aceh, glass bottle industry PT Industri Gelas (Iglas), textile producer Industri Sandang Nusantara, and PT PANN.
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Translator: Aji C, Kenzu
Editor: Azis Kurmala
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