Indonesia’s newly established sovereign wealth fund, Danantara, is reportedly seeking a multicurrency loan of up to $10 billion—potentially the largest syndicated loan in Southeast Asia—Bloomberg reported on Monday citing sources.
Formally known as Daya Anagata Nusantara, Danantara is said to have issued a request for proposals (RFP) to regional and international banks for a loan with tenors ranging from three to five years. The loan will be unsecured and will not be backed by government guarantees, letters of comfort, or other forms of state support, the report said.
The proceeds are expected to be used for general corporate purposes, including funding strategic investments and strengthening the fund’s financial position.
Danantara declined to comment when contacted by DealStreetAsia.
The loan marks a key step in Danantara’s effort to mobilise capital and support Indonesia’s economic transformation.
Launched in February 2025 as a complement to the Indonesia Investment Authority (INA), Danantara was formed by consolidating stakes in seven major state-owned enterprises (SoEs)—including PLN, Pertamina, Telkom, and BRI—giving it indirect control of assets worth over $900 billion.
Seeded with an initial capital base of $20 billion, Danantara has set an aggressive investment target for 2025. The fund plans to deploy up to $20 billion or around 0.6% of Indonesia’s GDP—across strategic sectors such as renewable energy, infrastructure, critical minerals, artificial intelligence, and downstream industrial development.
In the months since its inception, Danantara has already begun executing on this mandate. It has entered a $4 billion joint investment agreement with the Qatar Investment Authority, with each party contributing $2 billion toward the development of infrastructure and industrial assets in Indonesia. The fund has also signed a 2 billion euros (around $2.9 billion) co-investment agreement with Russia’s sovereign wealth fund, RDIF, focused on new energy projects.
In mid-June 2025, Danantara signed a memorandum of understanding with Chandra Asri Pacific and INA to explore an $800 million investment in a chlor-alkali and ethylene dichloride complex. Danantara, through its subsidiary PT Danantara Asset Management, has also extended a $405 million shareholder loan to the national flag carrier, Garuda Indonesia—marking the initial tranche of a planned $1 billion financing aimed at the airline’s long-term recovery and transformation
Danantara’s formation is a cornerstone of President Prabowo Subianto’s broader economic vision, which aims to accelerate GDP growth to 8% by 2029 and reduce the country’s dependence on foreign debt. Through strategic consolidation of SOEs and international partnerships, Danantara is designed to serve as a catalyst for sustainable, large-scale economic development.
