Danantara Plans Capital Injection to Support INKA Transformation

RRI.CO.ID, Jakarta – Danantara Indonesia is preparing additional capital to strengthen the performance of state-owned railway manufacturer PT Industri Kereta Api (INKA).

Head of the State-Owned Enterprises Regulatory Agency (BP BUMN) and Chief Operating Officer (COO) of Danantara Indonesia, Dony Oskaria, said the capital injection is part of the transformation of state-owned industrial enterprises to support the development of rail-based public transportation in Indonesia.

“Since the transformation of our public transportation system will rely more heavily on railways, we are also pushing for INKA’s transformation to proceed well,” Dony said in Jakarta on Tuesday, Sept. 29, 2026, as quoted by Antara.

He said Danantara is preparing a series of improvement measures to increase INKA’s production capacity, which is currently considered insufficient to meet the nation’s railway rolling stock needs.

According to Dony, the measures are necessary because rail-based public transportation is expected to continue expanding, requiring the domestic industry to develop greater production capacity and stronger competitiveness.

He added that INKA’s financial condition remains a challenge, as the company has negative equity and approximately IDR 4.7 trillion (USD 262.8 million) in unsustainable debt that needs to be addressed.

“Currently, its capacity is not sufficient for that. Therefore, we are preparing improvements, including additional capital, because INKA also faces financial problems. Its equity is negative, and it has around IDR 4.7 trillion in unsustainable debt,” Dony said.

He stressed that financial restructuring is a key prerequisite for increasing production capacity and strengthening the competitiveness of Indonesia’s railway industry.

However, Dony did not disclose the size of the planned capital injection or the timeline for its disbursement.

He hopes the additional capital and broader transformation efforts will help position INKA as a stronger, more sustainable backbone of Indonesia’s public transportation industry in the future.

“We are putting everything in order. INKA has financial problems that need to be resolved so it can become our public transportation industry of the future,” Dony said. ***