In Indonesia, state-owned enterprises (, BUMN) play an important role in the national economy. Their roles includes contributor for national economy growth, providing goods or services which are not covered by private company, employment provider, providing support guidance to small and medium businesses, and source of government revenue.[3] The Daya Anagata Nusantara Investment Management Agency, better known as Danantara (through its subsidiary PT Danantara Asset Management (Persero)), and the State-Owned Enterprises Regulatory Agency (previously the Ministry of State Owned Enterprises) represents the government's function as a shareholder of most of those companies, while some are represented only by the latter or the Ministry of Finance.
Aside from SOEs, there are also provincially- or municipally-owned corporations, locally known as Badan Usaha Milik Daerah (BUMD). The primary difference between BUMNs and BUMDs is the ownership of the enterprise, whereas BUMNs are controlled by the Ministry of State Owned Enterprise while BUMDs are directly controlled by the local government. BUMDs roles are similar with BUMNs, with heavy emphasis on providing goods or services to the local community. In addition, there are also village-owned enterprises which are run by village governments.
History
Dutch colonial era
During the Dutch colonial era, the government had a monopoly on the opium, pawnbroking (nationalized on 1 April 1901), posts (including the Post Office Savings Bank), telegraph and telephone industry, as well as owning most of the railways and electric utilities. They are managed by the Department of State-Owned Enterprises.
Post-independence
By the end of the Dutch–Indonesian Round Table Conference, the Indonesian government had a major or complete ownership on the public utility, buses, railways, banks and communications.
With the beginning of Guided Democracy in Indonesia, many Dutch-owned companies, or Indonesian branches of Dutch companies, were nationalized (see Nationalized Dutch companies below).
During the New Order, the nationalized companies were still state-owned. Some of the companies were listed in the Jakarta Stock Exchange later on.
Today the largest banks in Indonesia are mostly state-owned.
Types of SOEs
Since 2003, there are two types of state-owned enterprises (SOEs) in Indonesia: There are two sub-type of Perusahaan Perseroan:
Until 2003, there was also another type of SOE called Perusahaan Jawatan (Perjan/PJ) (lit. 'service company') which had operational costs funded from the national budget. Employees of these SOEs were civil servants and the companies were regarded as government agencies. Firms in this category have been either upgraded into other types of SOEs or converted into government agencies.
- Perusahaan Umum (Perum) (lit. 'public company'), are statutory public-benefit corporations with no shareholders. The main purpose of these SOEs is to provide goods and/or services to public. These firms are allowed to pursue profits. Perums, however, are increasingly rare as the government are converting many of them into perusahaan perseroan (see below), especially after the 1980s.
- Perusahaan Perseroan (Persero) are SOEs which are perseroan terbatas (PT) (i.e. a joint-stock company). This type of SOE is more independent than the Perums and the main goals of these firms are to gain profits and contribute to government revenue. This type of SOE is easy to recognize because they have the term Persero attached to their names. These SOEs, however, are subject to general perseroan terbatas laws, and similar to ordinary PTs its establishment and amendments to its articles of association, including increases to its capital, must be executed before a civil law notary with a notarial act, unlike Perums where its Articles of association (including amendments and capital increases) is directly legislated. Since 2025, almost all of these SOEs are controlled by
List of companies
Information on the state-owned enterprises (SOEs) is drawn from the Ministry of State Owned Enterprises[23] and the Ministry of the State Secretariat's Legal Documentation and Information Network portals.[24]
Indonesian SOEs subdivided into 12 clusters.
See also
- State owned enterprise
External links
- Official website of the Ministry of SOEs of the Republic of Indonesia
References
- Berharap Go Global, Erick Thohir Ganti Slogan 'BUMN Hadir untuk Negeri' jadi 'BUMN untuk Indonesia' BusinessNews Indonesia, 14 April 2020, retrieved 10 May 2020^
- Husen Miftahudin. BUMN Hadir untuk Negeri di Hari Jadi ke-18 Tahun medcom.id, 2016-04-13, retrieved 2019-05-25^
- Indonesian - Role of BUMN