State-Owned Enterprises Request Rp344 Billion Budget Increase in 2025: What For?

The Ministry of Finance has allocated a budget of Rp277 billion for the Ministry of State-Owned Enterprises (SOEs) in 2025.

However, SOE Minister Erick Thohir has requested an additional budget of Rp66.64 billion. If approved, the indicative budget for the Ministry of SOEs will be Rp344 billion in 2025.

"Of course, this (budget allocation) is 16% lower than the previous allocation of Rp328 billion, or even 10% lower than the 2024 allocation," Erick said in a working meeting with Commission VI of the Indonesian House of Representatives (DPR RI) on Friday (7/6/2024).

He stated that this additional budget will be used to support the Ministry of SOEs' main duties and functions in developing and supervising SOEs.

"We are planning a dividend target of approximately Rp85 trillion in 2024. Therefore, the support, supervision, and operational aspects from the Ministry of SOEs are crucial," Erick said.

Of this amount, the largest budget allocation will be for the development and supervision of SOEs, amounting to Rp122.8 billion. This represents 36% of the total indicative budget for 2025.

Next, Rp94.4 billion will be allocated for office operations within the Ministry of SOEs. Then, Rp77.6 billion for salaries and allowances, and Rp49.3 billion for secretariat budget to support SOE development.