Indonesia Government Supports Planned Merger of Grab and GoTo

SINGAPORE/JAKARTA — The Indonesian government has come out in full support of a potential merger between ride-hailing and food delivery company GoTo and its Singapore-based competitor Grab. Initially, Jakarta had opposed the deal, seeking better terms for drivers. However, state investment fund Danantara Indonesia is now considering taking a “golden share” in the combined entity, granting veto rights over crucial decisions. Grab CEO Anthony Tan recently met with President Prabowo Subianto to advocate for the merger, although the government and Danantara have yet to comment on the matter. Despite declining to discuss the meeting or merger, Grab’s potential merger with GoTo could reshape Southeast Asia’s ride-hailing and food delivery landscape, with the combined entity set to dominate the market in Indonesia with over 91% share.