TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Tycoons' wealth growth 'lackluster' with dull economy
Indonesiaâs economic gloom has rained on the parade of the countryâs tycoons
Change text size
Gift Premium Articles
to Anyone
Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
Indonesia's economic gloom has rained on the parade of the country's tycoons. Once brilliant in 2012, thanks to the burgeoning middle class, this year's wealth expansion has been described as 'lackluster' by Forbes on its latest list of Indonesia's richest people.
Forbes has expanded the rich list to 50 tycoons ' up from 40 last year ' who represent a combined wealth of US$95 billion.
If the list had not been lengthened, however, the country's richest would have collectively gained a bare 1.1 percent more than they did a year ago.
'With the slowdown in the economy, many tycoons have suffered a decline in fortunes,' Forbes Indonesia's chief editorial adviser, Justin Doebele, said.
Indonesia's economic growth slid below 6 percent in the third quarter of the year, the slowest in almost four years, while the rupiah has fallen 19 percent in the last year.
Inflation triggered by the hike in gasoline prices, coupled with global jitters over US tapering, have been blamed for the country's economic doldrums.
The tough conditions have consequently also placed some strain on those sitting atop large corporations.
The Hartono brothers, Robert Budi and Michael, kept their prime spot with $15 billion in net worth derived partly from Bank Central Asia (BCA).
Eka Tjipta Widjaja, the man behind Asia Pulp & Paper who maintained his second position on the list, saw his estimated net worth fall 9 percent to $7 billion this year, along with 20 other tycoons.
Other tycoons in the top 15 who saw their wealth drop are Susilo Wonowidjojo of Gudang Garam, Sukanto Tanoto of the RGE Group and Putera Sampoerna of the Sampoerna Group.
This year has indeed been an uphill climb for cigarette manufacturers due to a roughly 7 percent increase in cigarette excise tax imposed by the government.
Another 18 moguls, including Chairul Tanjung of Trans Corp., Sri Prakash Lohia of Indorama Ventures, Boenjamin Setiawan of Kalbe Farma and Mochtar Riady of the Lippo Group, managed, however, to add to their wealth.
Some of the 10 richest men shared interests in the health and media sectors.
Boenjamin and Mochtar own private hospital chains, namely Mitra Keluarga and Siloam, respectively. Mochtar's assets also include BeritaSatu Media Holdings, while Chairul's Trans Corp. operates television stations Trans TV and Trans7, and news portal detik.com.
This year's Forbes rich list also welcomes new faces, namely the Mayora Group's Jogi Hendra Atmadja, Provident Capital Indonesia's Winato Kartono and Argo Pantes' The Ning King, each of whom is worth between $590 million and $760 million.
The list also sees a number of returnees, namely Bachtiar Karim of Musim Mas, Eka Tjandranegara of Mulia Land and Handojo Santosa of Japfa Comfeed.
Developers Agung Podomoro's Trihatma Haliman and Summarecon's Sutjipto Nagaria have also made a return to the list, thanks to the property sector, which performed well this year.
