JAKARTA – President Prabowo Subianto affirmed the abolition of tantiem (profit-sharing bonuses) for SOE directors and commissioners during the presentation of the 2026 State Budget Draft and Financial Note at the Parliament Complex.
“I found that commissioners who only attend one meeting a month could receive up to IDR 40 billion a year. That is unreasonable,” President Prabowo said.
He stressed that if an SOE suffers losses, neither directors nor commissioners should receive tantiem.
“Even when profits are recorded, they must be genuine profits, not fabricated figures,” he asserted.
President Prabowo also argued that the term tantiem has long served merely as a disguise for large incentive distributions.
“If we are being honest, let’s not pretend by calling it tantiem. It is simply another way of channeling huge sums of money to management,” he remarked.
As a follow-up, the Indonesia Investment Management Authority (Danantara) issued Circular No. S-063/DI-BP/VII/2025, abolishing tantiem for SOE boards of commissioners and directors, as well as their subsidiaries.
Danantara CEO Rosan Perkasa Roeslani stated that the policy could save up to IDR 8 trillion annually. “We are also accelerating the licensing process. If the deadline passes without a response from the ministry, the license will be automatically approved,” he explained.
President Prabowo further called for the full integration of the licensing system to be completed immediately. “No investor should have to wait any longer. Everything must be automatic, transparent, and efficient,” he emphasized.
Deputy Speaker of the House of Representatives (DPR), Sufmi Dasco Ahmad, welcomed the policy.
“The abolition of tantiem and the reduction in the number of commissioners could save up to IDR 17–18 trillion per year,” he said.
Dasco added that the savings could be redirected to public programs. He also clarified that although some deputy ministers serve as commissioners, they do not receive tantiem.
“That is solely an oversight assignment, not an opportunity for additional income,” he noted.
Going forward, this policy is expected to foster a healthier, more efficient, and more professional work ecosystem within SOEs.
This structural reform is envisioned as part of a broader effort to establish clean, transparent, and results-oriented corporate governance. With this approach, SOEs will not only act as business entities but also as true agents of development, delivering direct and sustainable benefits to all Indonesian people.
