The Indonesian Logistics and Forwarders’ Association (ALFI/ILF) has welcomed President Prabowo Subianto’s policy of allocating funds from the Daya Anagata Nusantara (Danantara) program, a sovereign wealth fund designed to support strategic national investments and development programs.
These initiatives include downstreaming the energy and food sectors, as well as various other industrial development programs.
ALFI also supports the Danantara program because it aligns with the country’s goals of achieving energy independence, transitioning to new and renewable energy (EBT), and reducing reliance on finite fossil energy sources.
Akbar Djohan, ALFI’s General Chairperson, expressed hope that Danantara could serve as an alternative financing solution for the nation’s infrastructure sector, including logistics.
“We welcome the launch of Danantara. This is a crucial breakthrough in supporting infrastructure development in Indonesia,” said Akbar in a written statement on Tuesday, February 25, 2025.
Potential to Transform Indonesia’s Infrastructure
Akbar further explained that Danantara holds significant potential to bolster Indonesia’s infrastructure sector in several key ways. The program can provide an alternative financing source for infrastructure projects that are not bankable, thus filling a critical gap.
He emphasized that the launch of Danantara is expected to attract investment both from domestic and international sources, accelerating infrastructure development across the nation. With diverse financing options, Indonesia can expedite its infrastructure projects and strengthen its economic foundation.
With full support from ALFI, Akbar added, the logistics sector is ready to assist in the implementation of national strategic investments planned by the government. These investments will reinforce the supply chain and drive progress in other essential sectors.
Strengthening the Supply Chain and Promoting Investment
Meanwhile, Yukki Nugrahawan Hanafi, Chairman of the ALFI Institute, highlighted that the Danantara Program has the potential to invigorate the national logistics sector and positively impact Indonesia’s economy.
“The program is highly relevant to Indonesia’s logistics activities because the investment and strategic development programs involve extensive logistics operations, from preparation and exploration to production and distribution,” said Yukki.
Logistics companies, particularly those under ALFI, strongly support the program due to its potential to stimulate the national logistics business. The involvement of logistics in sectors such as warehousing and transportation of goods, both for raw materials and finished products, will play a vital role in its success.
This investment is expected to accelerate national economic growth, create jobs, and improve Indonesia’s competitiveness on the global stage. Additionally, Yukki pointed out that investments in energy, food, and industrial sectors offer significant opportunities to develop more efficient and sustainable logistics infrastructure.
Earlier, President Prabowo emphasized that Danantara funds would focus on energy and food downstreaming, the transition to renewable energy (EBT), and several other underdeveloped sectors. This strategic investment initiative aims to increase the added value of raw materials, reduce dependency on raw commodity exports, and foster the shift to EBT.
Overall, the Danantara program marks a significant step toward driving inclusive and sustainable economic growth. It opens up new opportunities for rapid growth in the logistics sector.
President Prabowo further disclosed that US$20 billion (approximately Rp 300 trillion) will be allocated for around 20 national strategic investments across multiple sectors. The funds will primarily support the downstreaming of nickel, bauxite, and copper, as well as the development of essential sectors such as artificial intelligence (AI), oil refining, petrochemicals, food and protein production, aquaculture, and renewable energy.