A recent CELIOS study titled “Indonesia Inequality Report 2024: Private Jets for the Rich, Bicycles for the Poor” finds that inequality in Indonesia has reached a point where the wealth of the country’s 50 richest people equals the wealth of 50 million Indonesians. Within the next six years, Indonesia will have its first quadrillionaire in history. Meanwhile, it will take 133 years to eradicate poverty in Indonesia.
In addition to documenting the widening gap between social classes, which continues to be allowed to grow, the CELIOS study also reveals that extractive industries contribute significantly to Indonesia’s severe inequality. The report finds that half of the 50 richest people in Indonesia are affiliated with extractive industries. Although these giant industries are major contributors to government revenue through taxes and royalties, the proceeds of their activities often flow only to a small group of the country’s elite.
The country’s inequality nightmare is not over: key figures in extractive industries are also widely known to the public. Four ministers among those with wealth exceeding IDR 1 billion benefit from the mining industry. This points to monopolistic access that facilitates wealth accumulation by public officials.
More troubling still, several trillionaires sit in the cabinet during the second term of Joko Widodo’s administration. Seventeen percent, or seven of Joko Widodo’s ministers, are recorded as having wealth exceeding IDR 1 trillion. From 2019 to 2023, the average wealth of ministers in President Joko Widodo’s second-term cabinet reached IDR 478.17 billion per person. If allocated to the free nutritious meals program, the ministers’ accumulated wealth could provide meals to 32.85 million children across Indonesia.
The painful problem of inequality is also reinforced by corporate power, which continues to benefit capital owners while sidelining workers’ interests. At many large companies, executive compensation packages often far exceed ordinary workers’ pay, contributing to massive wealth accumulation. By contrast, workers receive salaries that are not supplemented by significant additional incentives.
While the government continues to nurture the nation’s trillionaires, ordinary people are left to endure the hardships of a marginalized life. A contract teacher in a border region shared, “Every day I have to cross between islands, a journey of about 20 minutes, and once the boat even capsized. So far, I have only been paid IDR 100,000 for three months. Here, I have realized that education is easier to talk about than to teach.”
This report is presented with hope for a just, inequality-free life for Indonesians. The government can and should take many steps to narrow the gap between social classes. Improving well-being by prioritizing people and ecology is a prerequisite for achieving a fair and equitable economy.
A recent CELIOS study titled “Indonesia Inequality Report 2024: Private Jets for the Rich, Bicycles for the Poor” reveals that inequality in Indonesia has reached a level where the wealth of the 50 richest individuals equals that of 50 million Indonesians. In the next six years, Indonesia is expected to have its first quadrillionaire, while it will take 133 years to eradicate poverty.
The study also highlights the role of extractive industries in exacerbating inequality. Half of the 50 wealthiest Indonesians are affiliated with these sectors. While extractive industries are major contributors to government revenue through taxes and royalties, the benefits largely flow to a small elite. Key figures in these industries are also public officials—four ministers with assets exceeding IDR 1 billion profit from mining and other extractive sectors, showing monopolistic access that enables wealth accumulation for public officeholders. Shockingly, 17% of ministers in President Joko Widodo’s second-term cabinet are trillionaires, with an average wealth of IDR 478.17 billion per minister from 2019 to 2023—enough, if redistributed, to provide free nutritious meals to 32.85 million children.
Corporate power further entrenches this inequality, as executive compensation far exceeds that of ordinary workers, contributing to massive wealth accumulation while employees receive minimal wages and few incentives. Meanwhile, ordinary citizens bear the brunt of marginalization. A contract teacher in a border region shared, “I cross the island for 20 minutes daily, and once the boat nearly capsized. I’ve only been paid IDR 100,000 for three months. Here, I realized that education is more spoken about than actually taught.”
The report is presented with hope for a fair, equitable Indonesia. CELIOS emphasizes that government action can narrow class gaps, and that prioritizing human welfare and ecological sustainability is essential to achieving a just and inclusive economy.