Government Channels Rp450 billion For State Companies

The State Asset Management Company said it has channelled Rp450 billion for some state companies facing financial problems this year, out of Rp1 trillion provided by the government this year. Most of the assistancewent to Merpati Nusantara Airlines which received of Rp300 billion, while PT Kertas Kraft Aceh received Rp125 billion and PT Sandang Nusantara received Rp25 billion.

Chief Director of the asset management firm Boyke Mukijat said the assistance for Sandang Nusantara was provided to help the company to rationalise its workforce.

The company said it is expecting sales of governent’s assets in several companies in Bekasi, Central Java, East Java, including those in Sandang Nusantara could be completed.

For next year the Asset Management Company said it will need up to Rp1 trillion to continue assistance for Merpati Nusantara Airlines and provide life line for PT Waskita Karya of around Rp475 billion and the Surabaya-based shipbuilder PT PAL of Rp450 billion.