Indonesia Should Form a Conglomerate of State-owned Firms: Minister

JAKARTA, May 29, 2015 - (ACN Newswire) - State Enterprises Minister Rini Soemarno has called for the establishment of an Indonesian conglomerate comprising state-owned companies that can develop internationally.

"Let us jointly build a state-owned Indonesian conglomerate that can compete internationally and professionally to make the country proud," she said while delivering a speech at the signing of a memorandum of understanding by several state-owned companies, locally known as BUMNs, here on Thursday.

To make BUMNs capable of forming a conglomerate, a strong synergy is needed, she added. "With synergy, they will be able to operate on a large-scale not only domestically but globally, as well," Soemarno affirmed. The minister pointed out that the management of BUMNs running on state capital should be done professionally and based on synergy.

"BUMNs receive capital injection from the state or the people. This means its management is required to be professional and to prioritize the interests of the nation and the state, at the same time. Therefore, we hope they build synergy to develop the country," Soemarno noted.

She added that state-owned enterprises played the chief role of a development agent. Moreover, the minister recalled a statement once made by President Joko Widodo which asserted that the state has two hands to build the country -- the budget and BUMNs.

In view of that, she pointed out that even though BUMNs will face tougher challenges in the future, tackling them will prove that they can play a role in developing the country and can become a pride of the nation. --Antara.




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