JAKARTA, Indonesia — The Indonesian government is set to close over 750 state-owned enterprises by the end of the year, President Prabowo Subianto announced on Friday. He also suggested the possibility of establishing a special court to investigate the management of "unproductive" boards.

Speaking during his state of the nation address to parliament, President Subianto stated that a significant number of these enterprises are consistently reporting losses while falsely claiming profits. He revealed that the recent establishment of Indonesia’s Danantara sovereign wealth fund helped uncover the true number of state-owned enterprises.

"We discovered that there are 1,074 state-owned enterprises," the president informed lawmakers. He expressed surprise, having previously believed the number to be much lower, around 300 to 400. He criticized their operations, noting that they "sometimes operate as they please, with no sense of responsibility to the nation, to the state."

So far, 290 of these entities have been closed. President Subianto aims to reduce the total number to no more than 300 by December 31. "We will close more than 750 enterprises and retain only those that are productive, those that create added value for the people," he declared, describing the initiative as potentially the largest corporate restructuring globally.

This consolidation effort has already resulted in savings of approximately 50 trillion rupiah, equivalent to over $2.8 billion. These savings stem from reduced overhead costs, including salaries for directors and commissioners, as well as expenses for building and car rentals and business travel. The target for this year was to achieve savings exceeding 70 trillion rupiah.

President Subianto also mooted the idea of creating a "special ad hoc court" to scrutinize the management and boards of these enterprises, potentially looking back over the past 30 years. However, he also extended an invitation to lawmakers to consider a form of "special amnesty for those who repent."