Defense BUMN Holding Will Create Independence for Alutsista (Defense equipment)
This BUMN holding will be called DEFEND ID and PT LEN will be appointed as the leader
The government revealed that the formation of the Defense BUMN holding would create independence for the main weaponry system (alutsista). Deputy Minister of Defense Muhammad Herindra said the government needed to be firm in the vision and mission of the defense industry to face contemporary challenges.
The government, he said, had prepared a legal umbrella as a basis for the development of the defense industry to achieve independence. In addition, the Ministry of Defense, Bappenas and the Ministry of Finance have increased the defense equipment budget through domestic and foreign loan financing schemes. "With the hope that the transformation of spending to investment will be achieved more quickly," said Herindra while chairing a working meeting attended by five defense industries on Friday. The plan to form a defense industry BUMN holding has been in progress since 2020. There are five state-owned companies that will be merged, namely PT Dirgantara Indonesia, PT Len Industri, PT Pindad, PT PAL and PT Dahana. This BUMN holding will be called DEFEND ID and PT LEN will be appointed as the leader. The Grand Design of the formation of this BUMN Holding is to enter the top 50 of the world Defense Industry. The working meeting discussed the Defense Industry BUMN master plan, the roadmap for establishing a holding, and the operating model after the holding was formed.
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