By Stefanno Sulaiman
JAKARTA (Reuters) -Indonesia’s parliament on Tuesday approved a bill that allows the government to set up an investment agency that can manage stakes in some of the biggest state companies and is intended to operate like Singapore’s investment arm Temasek.
The creation of the Daya Anagata Nusantara Investment Management Agency, or Danantara, was announced soon after President Prabowo Subianto took office in October, with the aim of improving the performance and returns from state investments.
The new agency is set to receive 1,000 trillion rupiah ($61 billion) in initial capital, Darmadi Durianto, a lawmaker from the parliament’s commission overseeing the bill, told Reuters.
In October, the government said Muliaman Hadad, a former chief of Indonesia’s Financial Services Authority, would head up the agency.
(Reporting by Stefanno Sulaiman; Additional reporting by Gayatri Suroyo; Editing by Martin Petty and John Mair)
