The MoU between INA and Franklin Templeton will establish a framework for collaboration aimed at facilitating co-investments and partnerships that support Indonesia’s long-term economic growth strategy.

The Indonesia Investment Authority, Indonesia’s sovereign wealth fund, and Franklin Templeton have signed a Memorandum of Understanding (MoU) to explore investment opportunities and partnerships in Indonesia.

This MoU between INA and Franklin Templeton, will establish a framework for collaboration aimed at facilitating co-investments and partnerships that support Indonesia’s long-term economic growth strategy.

Under the MoU framework, INA and Franklin Templeton will explore the potential establishment and management of a private asset fund, a pooled investment vehicle designed to channel global institutional capital into Indonesia’s private markets, as well as co-investment opportunities across various strategic sectors in the country. Other aspects of the collaboration could include setting up training and knowledge-sharing programmes, support on valuation methods and exercises for INA’s portfolio companies, and potential internship and talent development programmes. These initiatives will bring together the combined capabilities, investment expertise and networks of both institutions.

Private asset funds play a vital role in attracting foreign direct investment (FDI) by providing accessible and well-structured avenues for global investors, offering professional fund management, and ensuring risk-adjusted returns through diversified portfolios. Such funds are structured to meet international governance and investment standards, offering a credible and efficient platform for foreign investors to participate in diverse opportunities in the country. The initiative marks Franklin Templeton’s first collaboration with INA, combining Franklin Templeton’s extensive global investment capabilities with INA’s local insights and networks to help create a trusted channel for international capital into Indonesia.

“This partnership underscores our shared commitment to unlocking Indonesia’s investment potential and advancing sustainable growth across key sectors,” Tariq Ahmad, head of APAC at Franklin Templeton, said. “The signing of this MoU reflects our deep commitment to the Asia Pacific region and our ongoing endeavour to build long-term relationships with official institutions globally".

“The private asset fund we are exploring will be structured to meet international governance and investment standards, enabling global investors to participate in a wide range of opportunities across the country,” Ridha Wirakusumah, CEO of INA, said. “This initiative is about more than just mobilising capital, it is about creating a credible, well-managed channel that fosters trust, facilitates knowledge exchange, and positions Indonesia as a competitive and reliable destination for investment."