Prabowo to Close 700 Loss-Making State-Owned Enterprises by End of 2026

JAKARTA, KOMPAS.com - Indonesian President Prabowo Subianto aims to close 700 state-owned enterprises (BUMN) that have been continuously operating at a loss by the end of 2026.

"By December, our target is to close 700 (BUMN)," Prabowo stated during the National Coordination Meeting (Rakornas) of the Regional Financial Access Acceleration Team (TPAKD) at JIEXPO, Jakarta, on Thursday (22/10/2026).

He mentioned that to date, around 300 BUMN have already been closed out of the 1,074 previously existing BUMN.

Prabowo claimed that this policy is part of the efficiency measures.

"We are determined now to focus on efficiency. From 1,074 BUMN, we have consolidated, closed, and streamlined operations. We have reduced it to about 360 or 364, as of last night," he said.

In addition to closing the loss-making BUMN, Prabowo also asserted that the government is making improvements to ensure that state enterprises become profitable.

He stated that some formerly unprofitable BUMN are now generating profits.

"Some are making profits of up to 900 percent, some 200 percent, and others 300 percent," he noted.

Prabowo emphasized that the government is focused on supporting BUMN that generate profits for the people.

He assured that any BUMN that is unprofitable, inefficient, or involved in fraudulent financial reporting will be cut.

"Those that are inefficient, operating at a loss, and have been submitting false financial reports will be closed. The focus is on BUMN that contribute positively for the people," Prabowo stated.