Bogor. The newly established sovereign wealth fund Danantara will finance 35 large-scale national projects throughout this year, a close ally of President Prabowo Subianto said on Saturday.

Danantara, which will be formally launched by the president on February 24, was created to secure funding sources beyond the state budget for the new government’s priority programs. It also aims to reduce reliance on international lenders for costly, strategically important projects, according to Andre Rosiade, an executive of Prabowo’s Great Indonesia Movement Party (Gerindra).

“A budget of $20 billion will be spent on strategic projects in 2025,” Andre said during a Gerindra gathering in Bogor, West Java. He added that $4 billion of the fund will be allocated to the industrialization of minerals and other mining products.

“Danantara’s funds will be used entirely to advance our national interests,” he said.

Earlier in the day, President Prabowo announced that ongoing cost-cutting measures will continue next year, targeting total savings of Rp 750 trillion (approximately $44 billion). He noted that part of these savings would fund his signature free nutritious meals program for children and expectant mothers, which is expected to cost around $24 billion. Another $20 billion will be managed by Danantara.

Under the law, Danantara is mandated to secure at least Rp 1,000 trillion (approximately $61.3 billion) in startup funding from state investments or other legal sources.

Danantara -- short for Daya Anagata Nusantara, meaning “the future power of the archipelago” -- will consolidate the management of state-owned enterprises (SOEs), including their dividends and investments. Government officials have indicated that seven major SOEs from the banking, mining, energy, and telecommunications sectors will form the backbone of Danantara. These include Bank Mandiri, Bank BRI, and Bank BNI (banking); Pertamina (energy); PLN (electricity); Telkom Indonesia (telecommunications); and MIND ID (mining holding). Each is among Indonesia’s largest enterprises in terms of assets and consumer reach.