At Davos, Danantara Outlines SOE Reform Drive and Flagship Projects
Key Takeaways
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DAVOS, Investortrust.id — Danantara Indonesia, the country's sovereign wealth fund, outlines its dual mandate to deliver sustainable investment returns while generating tangible economic impact during World Economic Forum 2026 in Davos on Tuesday, Jan 20, 2026 in Switzerland.
The message is delivered by Managing Director for Global Relations and Governance Mohamad Al Arief during the discussion session titled Danantara Powering Indonesia’s Future at the Indonesia Pavilion.
“Danantara Indonesia carries two equally important mandates, achieving strong investment performance while ensuring our investments generate measurable socio economic impact for Indonesia,” Al Arief says.
He says the mandate is being implemented through gradual governance reform and consolidation of state owned enterprises, with professionalism and market discipline positioned as core foundations.
Al Arief says the reform agenda requires strategic long term decision making even when the benefits are not immediately visible in the short term.
One example of the reform is the elimination of tantiem payments for all boards of commissioners at state owned enterprises, a move that could save up to Rp 88.3 trillion per year.
“Reform is essentially about trading short term comfort for long term market trust,” Al Arief says.
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Meanwhile, Managing Director of Investment Stefanus Ade Hadiwidjaja explains Danantara’s long term and diversified investment strategy aligned with Indonesia’s national development priorities.
He says Danantara is currently advancing three flagship projects, covering waste to energy facilities in 33 cities, the development of plasma based medicines, and an internationally standardized Hajj complex in Makkah.
“Danantara Indonesia wants to build something that lasts and delivers real impact for society. We want to move fast, but not rush, by ensuring strong foundations in human capital, governance, and risk management,” he says.
Through a disciplined and risk based approach, Danantara positions itself as a credible investment platform linking global capital with Indonesia’s long term development agenda.
Beyond the panel discussion, the Danantara delegation also holds bilateral meetings with public sector stakeholders such as Permodalan Nasional Berhad as well as global corporations including Google and LG Sonic to explore collaboration opportunities.
The Indonesia Pavilion at World Economic Forum Davos 2026 serves as a strategic platform to showcase Indonesia’s economic transformation and facilitate high level dialogue on energy transition, downstream industry, digital economy, and future infrastructure.
Through its presence at Davos, Danantara reinforces its position as a long term investor committed to connecting global capital with Indonesia’s development needs, with impacts that reach the grassroots economy.