JAKARTA - The government is preparing several measures to strengthen state-owned enterprises (SOEs) amid the blow of the coronavirus (COVID-19) pandemic including by downsizing SOE clusters from 27 to 12, said SOE Minister Erick Thohir.
“We are preparing a roadmap for energy, food, and health security. There will be 12 clusters instead of 27. For example, pharmaceutical and hospital SOEs will be under one cluster as will cement and construction SOEs in accordance with their supply chains,” Mr Thohir said in a video conference on Tuesday (26/5).
In addition, he remarked, the Ministry of State-owned Enterprises will also strengthen SOE subholdings that focus on core business similarities between each company. Currently there are 142 SOEs in Indonesia with 800 subsidiaries.
According to Mr Thohir, the COVID-19 pandemic has significantly impacted on 90% of Indonesian SOEs, with the remaining 10% engaging in telecommunication, pharmaceutical, and food-related plantation. (MS)