Danantara opens investment doors for regional pensiun funds

  • Published on 25/04/2025 GMT+7

  • Reading time 2 minutes

  • Author: Julian Isaac

  • Editor: Imanuddin Razak

Danantara - image source: money.kompas.com

Danantara - image source: money.kompas.com

Chief Investment Officer (CIO) of the Daya Anagata Nusantara Investment Management Agency (BP Danantara), Pandu Sjahrir, reveals that agency provides investment opportunities to regional companies that manage pension funds.

"In our regulations (regions) are no longer allowed to make investments outside the region that manages the pension fund itself. So how do you optimize the use of these pension funds?" one of the audience raised a question to Pandu in an event on Thursday, April 24, 2025.

According to applicable regulations, starting in 2028, pension fund management companies are not allowed to place their investments outside the scope of their own entity. The amendment of Law Number 6/2014 on Villages to Law No. 3/2024 also changes various aspects including village finances.

In the regulations issued by the Financial Services Authority (OJK), regional company pension funds usually have regulations that limit investments outside the region. This regulation aims to ensure that the managed pension funds are used for the benefit of local communities, such as infrastructure development or local economic development.

"If we invest abroad, it is not for foreign interests, but to bring income and knowledge back to Indonesia," Pandu responded.

He cited an example of Danantara's investment in the electric vehicle (EV) sector. According to him, Indonesia might be able to build an EV factory domestically, but the technology, research and know-how needed often come from abroad.

Pandu said that by investing globally, Danantara is trying to bring home relevant knowledge and technology so that it can be used for domestic development. He also said that the investments made need to consider the impact on society.

Already have an account? Sign In

  • Freemium

    Start reading
  • Monthly Subscription
    30% OFF

    $26.03 $37.19/Month


    Cancel anytime

    This offer is open to all new subscribers!

    Subscribe now
  • Yearly Subscription
    33% OFF

    $228.13 $340.5/Year


    Cancel anytime

    This offer is open to all new subscribers!

    Subscribe now

Set up email notifications for these topics

Read Also

How can we help you?