Legal and Institutional Framework of Badan Pengaturan Badan Usaha Milik Negara (BP BUMN) under Presidential Regulation Number 105 of 2025
- AHRP
- 1 hour ago
- 1 min read
The Indonesian government has fundamentally restructured the governance of State-Owned Enterprises' (SOEs) management through the enactment of Law Number 16 of 2025 and Presidential Regulation Number 105 of 2025 (“PR 105/2025”), which introduces and establishes Badan Pengaturan Badan Usaha Milik Negara ("BP BUMN"). This landmark reform transitions the oversight of SOEs from a cabinet-level ministry to an independent body directly accountable to the President, centralizing the management of separated state assets to enhance professional oversight, institutional integrity, and regulatory transparency. By mandating the dissolution of the Ministry of SOEs and the transfer of its functions to BP BUMN, PR 105/2025 ensures institutional continuity while modernizing Indonesia’s state-owned sector. Find out more our insights about this topic in our Legal Brief publication.