President Prabowo Subianto has announced the decision to eliminate the profit-sharing bonus scheme, known as tantiem, for commissioners and directors of state-owned enterprises (SOEs) that are experiencing losses. In addition, he emphasized the need to reduce the number of commissioners in these companies. Prabowo expressed his dissatisfaction with the practices surrounding tantiem, highlighting how some commissioners received exorbitant bonuses despite minimal involvement in the company’s operations.
During the presentation of the 2026 State Budget Bill, Prabowo criticized the misuse of tantiem, stating that it was a tactic to obscure the true nature of these bonuses. He shared examples of commissioners attending meetings infrequently yet receiving substantial tantiem payments, emphasizing the need for transparency and accountability in SOE management.
Prabowo also addressed the issue of excessive commissioners in loss-making SOEs, stressing the importance of streamlining governance structures to improve efficiency and accountability. He instructed the Danantara Investment Authority to oversee the restructuring of SOEs, with a focus on eliminating unnecessary positions and promoting prudent financial management.
Furthermore, Prabowo underscored the responsibility of safeguarding public funds and ensuring that every rupiah is spent wisely and effectively. He emphasized the need for high-quality spending, efficiency, and tangible outcomes from government expenditure. By curbing wasteful operational expenses, Prabowo aims to enhance the impact of government spending, stimulate economic growth, and enhance public services for the benefit of all Indonesians.
