Indonesian President Prabowo Subianto hosted local tycoons and Bridgewater Associates founder Ray Dalio at the presidential palace, laying out goals for the new Danantara sovereign wealth fund.
The president on March 7 gathered business moguls including Indonesia’s richest man Prajogo Pangestu, instant noodle billionaire Anthoni Salim, coal baron Garibaldi Thohir, palm oil tycoon Franky Widjaja and real estate magnate James Riady to meet with Dalio in Jakarta, according to a statement and photos from the presidential palace.
Prabowo said Indonesia needed Dalio’s views and experience to develop the new wealth fund, according to the statement. Danantara, intended as a vehicle to manage Indonesia’s vast state-owned enterprises, launched last month as part of the new leader’s goals to boost growth in Southeast Asia’s largest economy.
It was the president’s second consecutive day hosting tycoons at the palace after having met with eight of them on March 6 amid efforts to boost collaboration with the private sector for his priority programs. The combined net worth of those gathered Thursday was at least $76 billion, based on Forbes’ data.
Prabowo told the businessmen on March 6 about his big-spending plans that included giving free meals to all schoolchildren, building infrastructure, attaining energy self-sufficiency and developing the new sovereign wealth fund.
“The president expressed appreciation for the entrepreneurs’ support of government policies, especially those related to public welfare,” said the statement. “Going forward, the government and private sector are expected to strengthen collaboration.”
Prabowo is looking for ways to fund his key programs as state revenues take a hit from the cancellation of a value-added tax hike meant for this year. The president has ordered spending cuts to free up $19 billion from state coffers, and gained a commitment from Bank Indonesia to help fund his public housing program.
