Deputy for Restructuring and Business Development at the Ministry of BUMN, Aloysius K. Ro and Deputy for Business Infrastructure at the Ministry of BUMN Hambra Samal, gave an explanation of the new SOEs holding at the ministry - Photo by SOEs ministry

JAKARTA (TheInsiderStories) –  Indonesian government in the process to establish two new holding of Infrastructure also Housing and Regional Development for state-owned enterprises (SOEs), said one government official on Thursday (15/11). The process of forming these two holding companies will be carried out in 2018-2020 and in 2020-2022.

Aloysius Kiik Ro, Deputy for Business Restructuring and Business Development at the SOEs ministry, said that the Infrastructure Holding iead by PT Hutama Karya with members are PT Jasa Marga Tbk (IDX: JSMR), PT Adhi Karya Tbk (IDX: ADHI), PT Waskita Karya Tbk (IDX: WSKT), PT Yodya Karya and PT Indra Karya.

While, members of the Housing and Regional Development Holding are PT Perumnas as the holding company with members WIKA, PT PP Tbk (IDX: PTPP), PT Virama Karya, PT Amarta Karya, PT Indah Karya, and PT Bina Karya.

“The establishment of holding is expected to accelerate infrastructure development which can have a positive impact on economic growth such as connectivity infrastructure that can create new economic corridors and can reduce the logistics costs in Indonesia,” Ro said.

He adde, that with the existence of the Infrastructure Holding, SOEs could control the market. This synergy also makes companiess not fight over the market. Likewise with the existence of holding for housing and regional development, could increase and efficiency.

Beside the two new holding, the SOEs ministry also has planned to set up its own financial services holding company. A Financial services holding company is one of the ‘holding master plans’ offered by the Indonesian Government.

This year, the ministry has formed two holding for oil and gas also mining. The ministry targeting to slice the number of SOEs from 119 companies to 85 companies by 2019.

Written by Staff Editor, Email: theinsiderstories@gmail.com