🌏 Around the Region
Indonesia
On 30 September 2025, I wrote that Indonesian sovereign fund Danantara reigns supreme over the operations of the country’s state-owned enterprises (SOEs), with overarching control of their restructurings and consolidations.
But I flagged that the fund may eventually run into a similar challenge faced by distressed asset manager Perusahaan Pengelola Aset (PPA) to resolve the underlying bad debt. Loss-making SOEs that cannot raise funds on their own are still dependent on the state – now represented by Danantara – to prop them up.
On 3 July 2026, Danantara said state-owned postal operator Pos Indonesia requires a comprehensive overhaul after a three-month due diligence review uncovered long-standing financial and governance problems, including suspected accounting irregularities, Jakarta Globe reported.
The findings came as Pos Indonesia CEO Daud Joseph reportedly resigned, paving the way for new leadership to oversee the SOE’s restructuring. On 10 July 2026, the company announced that it had to delay paying IDR 24.12 billion (USD 1.3 million) for its Islamic bonds (Sukuk) due to a cash shortage.
Another Indonesian SOE on the radar is flag carrier Garuda Indonesia, which is grappling with a spike in fuel costs, weaker rupiah and high aircraft maintenance costs even after going through three debt restructurings.
I outlined in April last year that a fourth restructuring would be more challenging for Garuda because it had gone through a local in-court restructuring (PKPU) in 2022. Under Indonesian law, a creditor can file a borrower into bankruptcy if it defaults on the PKPU agreement.
Garuda is walking on egg shells as it has to prevent its PKPU deal from unravelling while fending off a multi-jurisdiction legal war waged by one of its lessors, Greylag Goose Leasing, which is backed by US private equity firm Avenue Capital Group.
On 14 June 2022, two Greylag entities commenced arbitration proceedings at the Singapore International Arbitration Centre (SIAC) against Garuda and its subsidiary Garuda Indonesia Holiday France (GIHF).
On 26 November 2025, the Tribunal “issued a decision addressing certain liability issues, with the quantum issues to be addressed in a subsequent phase of the arbitration proceedings,” according to Garuda’s latest results.
“The Company and GIHF are pursuing legal remedies in accordance with applicable laws and regulations in the relevant jurisdiction. Accordingly, this matter remains subject to ongoing legal proceedings.”
Singapore
Singapore asset manager CapitaLand Investment has disbanded its special opportunities team, bringing an end to a dedicated unit that was set up to pursue investment strategies that typically came with higher risks, Bloomberg reported.
Temasek’s main asset management platform Seviora and Churchill Asset Management announced a close of about USD 400 million in a collateralised fund obligation, The Business Times reported.
Vietnam
Vietnam is seeking global capital to finance what officials estimate will be about USD 1.5 trillion of infrastructure investment over the next decade, Nikkei reported.
On 5 June 2026, Vietnam’s government issued Decree 200, regulating the private placement and trading of corporate bonds in the domestic market, as well as the issuance of corporate bonds in international markets, according to Baker McKenzie.
Malaysia
Major capital transactions as of the first half of 2026 have been led by data centre land acquisitions nationwide, The Edge reported, citing Knight Frank Malaysia executive director of research and consultancy Amy Wong.
Malaysian law considers gambling debt as “debt of honour” with no legal obligation to make good on the debt, The Edge reported.
🤝🏻 People to Watch
Dentons HPRP advised Indoedge Real Estate and Data Centre (DAMAC Digital Group) on the development of a large-scale data centre in Indonesia, with an overall estimated project value of up to USD 5 billion, according to the law firm’s LinkedIn post.
Acrostics Asia is an independent credit intelligence provider that delivers forward-looking insights across Asian sovereigns, private credit and restructurings.