Indonesia’s Danantara shifts to investment phase, targets 7% returns

[JAKARTA] Indonesia’s sovereign wealth fund Danantara is entering a new phase of capital deployment after spending its first year building governance and institutional structures, with the fund targeting at least a 7 per cent return on investments, its chief investment officer said.

In an interview with The Business Times, Pandu Sjahrir said the fund is entering what he described as a “year of deployment”, after laying the groundwork needed to operate as a long-term state investor.

He added that the past year for the fund was largely focused on establishing governance, recruiting talent and building operational systems.