Jakarta. Indonesia’s sovereign wealth fund Danantara has acquired less than 1% stake in GoTo, the tech giant confirmed on Tuesday night, amid the government’s plans to slash ride-hailing commission fees.

Millions of Indonesians make a living as drivers for GoTo’s online taxi unit Gojek. On May Day, the government vowed to cap the drivers’ commission fees at 8%, down from the current 20%. His close aide and senior lawmaker, Sufmi Dasco Ahmad, revealed that the government, via Danantara, had bought an undisclosed amount of shares in the ride-hailing apps to make this happen. The publicly listed GoTo finally confirmed the news of Danantara’s entry in filings at the Indonesia Stock Exchange (IDX).

“We understand that Danantara has purchased a number of the company’s shares through the exchange in an amount less than 1% of the [company’s] total issued shares,” GoTo director and corporate secretary R.A. Koesoemohadiani said.

GoTo went on to say that the company “welcomes this investment”, describing it as a “reflection of sustained confidence” in its business fundamentals, performance, and long-term prospects.

Earlier in the day, Danantara boss Rosan Roeslani confirmed the fund’s purchase while staying tight-lipped on the details. He also told reporters that Danantara would “gradually increase” its shareholding.

Slashing the commission fee that companies take from drivers for each trip will automatically boost the income that the latter bring home. GoTo said that it was still waiting for the details and a copy of the presidential decree that regulates the commission fee changes.

“So that the company can subsequently conduct a holistic assessment and plan the most suitable business plan to implement the relevant provisions,” Koesoemohadiani said.

GoTo is the entity formed by merging Gojek and e-commerce major Tokopedia.

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