Indonesia Establishes State-Owned Export Agency to Manage Natural Resource Sales

Economics

Indonesia

The Indonesian government has formed PT Danantara Sumberdaya Indonesia (DSI), a state-owned entity tasked with acting as the sole exporter for key natural resources starting June 1, 2026.

Key points

  • The agency will initially manage exports of coal, palm oil, and ferroalloys to improve oversight and prevent revenue leakage.
  • President Prabowo Subianto stated the policy aims to curb underinvoicing and transfer pricing practices while securing national revenue.
  • A three-month transition period from June to August 2026 will precede full implementation of the single-exporter system on September 1, 2026.
  • The government projects the initiative could generate approximately 150 billion USD in annual revenue.

Why it matters

This policy represents a significant shift in Indonesia's economic governance, aiming to centralize control over natural resource exports to maximize state income and ensure national prosperity.

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