Posted in

Prabowo urges stronger asset management as Danantara turns one

Jakarta (ANTARA) – President Prabowo Subianto emphasized the need for Danantara, Indonesia's sovereign wealth fund, to strengthen its capacity to manage and optimize state assets in order to help shape a better future for the nation.Speaking at an event marking Danantara's first anniversary in Jakarta on Wednesday, he described the fund as an institution established by the government to consolidate state assets under a single integrated platform.Despite the significant responsibility it carries, Prabowo said Danantara has demonstrated its potential and credibility, placing it among the world's top 10 sovereign wealth funds.”We are grateful that within its first year, the sovereign wealth manager has demonstrated its capacity to properly manage state assets with strong political will. This institution has delivered tangible results,” Prabowo said.Reflecting on Danantara's performance, the president referred to a report indicating a positive trend in its return on assets (ROA), a profitability ratio that measures the fund’s ability to generate net income from its total assets.He said that while Danantara has shown promising results, it still needs to increase its ROA to at least 10 percent. According to the president, a company can be considered financially strong if its ROA ranges between 10 percent and 15 percent.Prabowo acknowledged that it would be unrealistic for Danantara to achieve a 10 percent return ratio in its first year. However, he praised the fund for its promising performance while warning against complacency and stressing the need for continued improvement and growth.”I would like to congratulate Danantara officials for your accomplishments in year one,” he said, adding that the fund has received positive responses from international partners.The president added that Danantara has attracted the attention of foreign partners as “another face of Indonesia.”Prabowo delivered the remarks in the presence of cabinet ministers, special envoys, and leaders of state institutions.