Jakarta. The Jakarta provincial government is preparing to launch the Jakarta Fund, a flagship initiative of Governor Pramono Anung aimed at boosting regional development and increasing the city’s revenue.

A key feature of the program is taking state-owned enterprises (BUMD) public through initial public offerings (IPOs). Two prominent city-owned firms, Bank DKI and water utility company PAM Jaya, are being considered for listing.

Jakarta Governor’s Special Advisor Yustinus Prastowo said the IPO plans are currently undergoing feasibility studies. He expressed confidence that the process could be completed within the next year.

However, the path to public listing is not without hurdles, particularly for PAM Jaya, which operates as a public service provider. “Because PAM Jaya deals with essential public services like water, we must coordinate closely with central government agencies such as the Public Works Ministry,” Yustinus said in an online interview on Tuesday.

Bank DKI has already taken steps toward the IPO. In its annual general meeting of shareholders on April 30, the bank approved a dividend payout of Rp 249.31 billion, or 32 percent of its 2024 net profit of Rp 779.10 billion.  Bank DKI CEO Agus H. Widodo confirmed the bank also received shareholder approval to move ahead with an IPO.

“The shareholders meeting granted authority to the board of directors and commissioners to carry out all necessary preparations and adjustments for the IPO plan, including comprehensive studies based on domestic and global economic conditions and stock market dynamics,” Widodo said.

Meanwhile, the IPO process for PAM Jaya poses greater challenges due to its role as a public utility. “Because PAM Jaya handles essential public services like water, we must coordinate closely with central government agencies, such as the Ministry of Public Works and Housing,” Yustinus noted. “Our aim is to make the company profitable and sustainable without compromising affordable access to water.”

Yustinus also underlined Jakarta’s strong appeal to investors. “With a daytime population of 45 million and a resident population of 10 million, Jakarta contributes 17% to national GDP and sees 40–70% of Indonesia’s money circulation. Over 2,800 multinational firms are based here. Even if the capital moves to Nusantara, Jakarta will remain a global business and commercial hub,” he said.