President Prabowo Subianto said 240 of Indonesia's 1,077 state-owned enterprises had been closed as of Friday, July 10, 2026, in a speech marking the inauguration of five dams at the Meninting Dam in West Lombok, West Nusa Tenggara. The figure is up 40 entities from the "more than 200" he cited twelve days earlier at the Jakarta Convention Center in Senayan. The overall target hasn't changed: shutting down 800 loss-making, inefficient companies by December 31, 2026, a goal that would leave roughly 250 active state firms if it's met.

"As of today, we've closed 240 SOEs that were in bad shape. We've shut them down," Prabowo said, as quoted by Antara.

A claim that keeps growing over twelve days

Prabowo has repeated the same target at two venues in quick succession: an industry forum in Jakarta on June 28, then an infrastructure inauguration in Lombok on July 10. Only the realization figure has changed, from "more than 200" to 240. He also repeated a story about learning the true scale of the state-owned sector only after taking office. "My estimate had always been that we had 300 SOEs, maybe 400 at most. As soon as I was sworn in as president, I was told we actually have a thousand, 1,077," he said, quoted by Kompas.com. That gap, nearly three times his own estimate, is the reason he keeps giving for the scale of the cuts now under way.

The cost of that scale, Prabowo said, sits with the ranks of directors and commissioners. "750 CEOs, 750 directors times four or five, 750 commissioners times 10. Look at the overhead, look at the salaries, folks. This is all public money. A company that isn't profitable is still paying all that overhead," he said.

How many SOEs will remain by year's end?

If the 800-closure target is met by December 31, 2026, Indonesia will be left with roughly 250 active SOEs out of the 1,077 recorded when Prabowo took office. That matches what he has said since June 28: that the count will "end up at 250."

The 240 closures logged through July 10 mean about 560 SOEs still have to be shut down in under six months, roughly 174 days until December 31, 2026. That means the government needs to sustain a pace of about three closures a day, close to the rate of 40 entities in twelve days just recorded between June 28 and July 10. Mathematically, the year-end target is still within reach if that pace holds, assuming none of the administrative delays that typically slow the dissolution of legal entities.

70 trillion rupiah, consolidation, and a no-layoffs pledge

Prabowo claims savings of about 70 trillion rupiah from cutting overhead and trimming director and commissioner pay at companies no longer turning a profit. He hasn't detailed how that figure splits between overhead costs, director salaries, and commissioner salaries.

The restructuring runs on three tracks: consolidation, merging similar business units, such as subholdings within Pertamina, divestment, and dissolving entities that are no longer productive. The consolidation track runs under Danantara, the state investment management body created in February 2025 to oversee the process.

Dony Oskaria, head of the SOE Regulatory Agency and chief operating officer of Danantara, said the process won't result in layoffs. "All employees will be transferred to the merged company. There will be no reductions," he said.

Strategic industries excluded from sale

Prabowo said a number of strategic SOEs are excluded from divestment to foreign parties. He named PT PAL Indonesia, PT Pindad, PT Dirgantara Indonesia, and Garuda Indonesia as companies that had at one point been proposed for sale, but that he blocked it.

These closure and savings claims come amid the same budget pressure facing the state, after the state budget deficit jumped 763 percent in May 2026. Official detail on the 70 trillion rupiah figure, clarity on the legal status of the ban on selling those four strategic SOEs, and the pace of executing the remaining 560 closures will be the real test of whether this year-end target is met, or shifts again like several other policies have throughout 2026.