The think tank Nagara Institute held a round table discussion in Sanur, Bali, to discuss the direction of the government's policy in downsizing hundreds of State-Owned Enterprises (SOEs). The discussion, which took place in a hybrid format on Wednesday (22/7/2026), deeply highlighted the socio-economic impacts and efficiency of this mass restructuring move.
Nagara Institute researcher, Mohamad Dian Revindo, expressed his support for the rationalization plan of the state-owned enterprises. Nevertheless, he cautioned that this reorganization process should not merely chase financial performance targets or efficiency on paper.
According to Revindo, SOE entities that have undergone the restructuring process must be able to make a more tangible contribution to the wider community. SOEs must be returned to their core purpose as engines of national development, rather than just pursuing commercial profits.
Furthermore, the Nagara Institute recommends a clear clustering within SOEs. The government is advised to clearly separate state-owned enterprises that are purely profit-oriented to boost state revenue from those that carry a public service mission and empower micro, small, and medium enterprises (MSMEs).
