The amendment of the Law on State-Owned Enterprises to Law No. 1/2025 (UU BUMN 2025) has marked a new chapter in the management of the country’s strategic assets. With a corporatist approach, the Government has explicitly stated its intention to encourage efficiency, meritocracy, and professionalism within BUMNs. However, normative changes in text will not have a significant impact without considering the reality of the power structure that has surrounded BUMNs. In addition to being surrounded by so many legal problems that have been customary for decades, as economic and political entities, the planned reforms will have major consequences, especially if they cannot be executed properly. To subscribe please click here
