Indonesia’s Deputy Minister of State-Owned Enterprises (BUMN), Kartika Wirjoatmodjo, confirmed that there are no plans for an initial public offering (IPO) of state-owned companies this year.

“This year, we do not have any corporate action,” said Kartika, widely known as Tiko, after attending the Mandiri Investment Forum (MIF) 2025 at the Fairmont Senayan Hotel on Tuesday (11/2/2025).

The Indonesian stock market has been facing challenges since the beginning of 2025, which could impact business plans, including the listing of state-owned enterprises. IPOs of BUMN companies have long been a key focus for investors.

Tiko’s statement contradicts an earlier claim by the Indonesia Stock Exchange (BEI), which previously indicated there was an agreement with the Ministry of State-Owned Enterprises regarding IPO plans.

BEI’s Director of Corporate Valuation, I Gede Nyoman Yetna, had earlier stated that the stock exchange was scheduled to meet with ministry representatives to discuss the IPO plans.

Aside from IPO discussions, Tiko also addressed BUMN’s projected profits for this year, expecting a slight decline. The dip is attributed to the narrowing of profit margins (crack spread) at PT Pertamina’s refineries.

Despite this, he stressed that BUMN’s role extends beyond profitability. The enterprises also serve a strategic purpose in delivering public services and driving national industrial development.

Indonesia’s capital market has recorded a 7.57% decline year-to-date. Meanwhile, the rupiah has weakened by 1.12% against the U.S. dollar as of midday trading. The volatility stems from market concerns over U.S. President Donald Trump’s tariff policies.

SOURCE: BLOOMBERGTECHNOZ 

PHOTO: THE ECONOMIC TIMES

This article was created with AI assistance.