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View all search resultsThe latest cabinet reshuffle under the Prabowo Subianto administration has left the future of the State-Owned Enterprises (SOEs) Ministry uncertain. Erick Thohir, who previously led the ministry, has been reassigned to head the Youth and Sports Ministry, with no replacement or acting official named so far. Speculation over his successor is growing, while questions remain over the division of authority between the SOEs Ministry and the Daya Anagata Nusantara Investment Management Agency (Danantara).
Experts view the empty minister’s seat as evidence of the ministry’s waning purpose, as many of its former responsibilities have moved to Danantara, the country’s state asset fund now in charge of nearly 900 state firms.
During the closed-door meeting, the President called on SOEs executives to end inefficiency and misconduct, ordered Danantara’s board to evaluate their performance and warned that directors who fail to deliver would be replaced.
Adhi Karya has asked the government to resolve almost $130 million in outstanding payments for the Greater Jakarta LRT project so it can meet its its obligations to vendors, an issue that has only been compounded by last month's sweeping budget cuts.
The SOEs minister has vowed to reform Pertamina, including by possibly merging PT Pertamina Patra Niaga and PT Kilang Pertamina Internasional, two of at least three subsidiaries currently embroiled in a fraud and corruption probe by the AGO related to fuel imports in 2018-2023.
An association named the "victims of SOE Istaya Karya" has urged lawmakers to fulfill the bankrupt construction firm's financial obligations to vendors, some of which have been waiting more than a decade to be paid.
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