Prabowo Subianto told Atlantico that he did not regret radical decisions such as the creation of the powerful Danantara wealth fund.

“Some of the changes we introduced may have rattled people in the short run, but it is for the good of the country in the long run,” he said in an interview, pointing out that he has cut $18 billion of what he described as “fat” from the government budget.

This is money that would have gone “to the private coffers of corrupt officials - not for the people,” he claimed.

The Indonesian rupiah is at around record lows against the dollar as a result of surging energy prices caused by the War in Iran. Indonesia, like most of its neighbours, is a net oil importer which relies significantly on supplies from the Middle East.

But an even bigger drag has been years of trade manipulation, which has seen hundreds of billions of dollars lost as a result of companies avoiding levies by underreporting international transactions. Indonesia’s economy would have been 60 per cent larger today without this fraud, Prabowo said, adding that a range of measures were set to deliver results for his people in the coming years.

“I must admit, we could do better in communicating to the outside world what we are doing in Indonesia,” he said.  “The changes we are making today, with Danantara, with our single window for export policy, with the free meals program, with our Village Cooperatives and fisherman villages, are transformational.”

He hit out at biased commentators who he said have been misrepresenting these projects. 

The biggest economic shakeup of Prabowo’s presidency has been the creation of Danantara Indonesia, the seventh-largest sovereign wealth fund in the world, managing $900 billion in assets. 

The fund manages Indonesia’s vast state-owned enterprise portfolio and is charged with helping achieve government targets around economic growth and industrial transformation.

The fund reports to the presidency, unlike some other national wealth funds, because it needs to be accountable to the Indonesian people, Prabowo said. But it answers operationally to its own supervisory board and takes day-to-day decisions independently.

Might vs Right

Indonesia, the world’s fourth most populous country, has always steadfastly pursued a policy of non-alignment. Prabowo said the country has benefitted from tensions between China and the US as businesses seek alternative locations to diversify their supply chains. But he noted that the long-term interest of the whole world is for a harmonious relationship between the two superpowers.

Prabowo reiterated his absolute support for freedom of navigation, rejecting suggestions that Indonesia might one day seek to monetise shipping through the Strait of Malacca as Iran is trying to do in Hormuz. The country is expanding its military to ensure that it can defend the rules-based order, he told Atlantico: “Might must not make right.”

Indonesia subscribes to the One China policy, and Prabowo said that he believes China will always act “rationally” in its relations with Taiwan. Image via Deposit Photos

In 2024, the top 10 sovereign wealth funds collectively manage trillions of dollars in global assets, influencing global markets, infrastructure, and even innovation sectors.

Below is the top 10 Sovereign Wealth Funds by AUM according to Sovereign Wealth Fund Institute :

  Norway Government Pension Fund Global  –  $1.78 trillion

World's largest SWF, built from Norway’s oil revenues and known for its ethical investing principles.

China Investment Corporation (CIC)  –  $1.3 trillion

A key player in global markets, CIC invests in infrastructure, energy, and high-growth sectors.

State Administration of Foreign Exchange (SAFE), China  –  $1.2 trillion

Another Chinese heavyweight managing part of the country’s vast foreign exchange reserves.

Abu Dhabi Investment Authority (ADIA)  –  $1.05 trillion

One of the oldest and most secretive funds, investing oil revenues globally.

Kuwait Investment Authority (KIA)  –  $1 trillion

The world’s oldest sovereign fund, playing a crucial role in diversifying Kuwait’s oil-based economy.

Public Investment Fund (PIF), Saudi Arabia  –  $925 billion

Driving Saudi Arabia’s Vision 2030, this fund has ramped up global investments in tech and sports.

Danantara Indonesia  –  $900 billion

A rapidly rising SWF focusing on domestic infrastructure and development.

GIC Private Limited, Singapore  –  $850 billion

Known for its long-term investments in real estate, tech, and emerging markets.

Qatar Investment Authority (QIA)  –  $530 billion

A globally active fund investing in prime assets including banks, real estate, and luxury brands.

Hong Kong Monetary Authority Investment Portfolio  –  $514 billion

Manages part of Hong Kong’s foreign reserves with a focus on stable returns.

Norway's Sovereign Wealth Fund: A Global Leader

The Norwegian Government Pension Fund Global tops the list, managing an impressive $1.74 trillion, primarily accumulated from oil and gas revenues. This fund has shifted towards technology-driven investments, with stakes in Apple, Microsoft, and Nvidia generating record-breaking profits. Recently, the country hinted it was looking at tapping money from the funds to support Ukraine.

China's Growing Influence

China's two major funds, collectively controlling $2.39 trillion, are fuelling the country's global infrastructure and energy initiatives, particularly through the Belt and Road Initiative. China's growing economic influence is reflected in its expanding SWF portfolio.

Middle East Dominance

The Middle East remains a dominant force in the SWF landscape, with Kuwait, the UAE, and Saudi Arabia collectively holding over $3 trillion in assets. These funds play a crucial role in economic diversification, ensuring long-term stability beyond oil revenues.

Indonesia's Rise to Prominence

A standout in this year's ranking is Indonesia's sovereign wealth fund, Badan Pengelola Investasi Daya Anagata Nusantara. With a staggering $983 billion, the fund has rapidly expanded, now surpassing some of the longest-established funds in the world. Unlike resource-driven funds, Indonesia's SWF focuses on infrastructure, digital transformation, and sustainable development, attracting global investors eager to capitalise on the nation's economic growth.