4 richest Indonesians wealthier than poorest 100 million

FILE - In this Thursday, Mar. 13, 2014, file photo, a boy takes a shower in a slum area in Jakarta, Indonesia. A report on inequality in Indonesia says its four richest men now have more wealth than 100 million of the country's poorest people. (AP Photo/Tatan Syuflana, File)
FILE - In this Tuesday, Sept. 29, 2015, file photo, a goat dealer checks his mobile phone as he waits for customers in a slum in Jakarta, Indonesia. A report on inequality in Indonesia says its four richest men now have more wealth than 100 million of the country's poorest people. (AP Photo/Tatan Syuflana, File)
FILE - In this July 3, 2014, file photo, a young girl takes a break on a table at a slum near the main business district in Jakarta, Indonesia. A report on inequality in Indonesia says its four richest men now have more wealth than 100 million of the country's poorest people. (AP Photo/Tatan Syuflana, File)

JAKARTA, Indonesia — A report on inequality in Indonesia says its four richest men now have more wealth than 100 million of the country's poorest people.

The report released Thursday by Oxfam said Indonesia, with a population of more than 250 million, has the sixth-worst inequality in the world. Within Asia, only Thailand is more unequal.

It blames "market fundamentalism" that has allowed the richest to capture most of the benefits of nearly two decades of strong economic growth, concentration of land ownership and pervasive gender inequality.

The investment returns on the wealth of just one of the four richest, which according to the Forbes rich list include cigarette tycoons Budi Hartono, Michael Hartono and Susilo Wonowidjojo, would eliminate extreme poverty in a year.

The report said extreme poverty of less than $1.90 a day in income has declined sharply since 2000 but 93 million Indonesians still live on less than $3.10, which is defined by the World Bank as the moderate poverty line.

Oxfam said social instability could increase if the government doesn't tackle the gap between rich and poor.

President Joko "Jokowi" Widodo has said that reducing inequality is a top priority for his government. A 2015 World Bank survey showed high levels of public concern about the wealth gap.

The report said Indonesia's tax collection is the second-lowest in Southeast Asia and the tax system is "failing to play its necessary role in redistributing wealth."

To increase the tax take, so low spending on public services such as education and health can be increased, Indonesia needs a higher tax rate on the top incomes, higher inheritance tax and a new wealth tax, it said.

Tackling tax evasion is also crucial, Oxfam said, citing International Monetary Fund data that shows $101 billion flowed from Indonesia into tax havens in 2015.

You may also interested in

Qatar's leader urges end to trade embargo, calls...

Oct 18, 2017

Qatar's emir has urged neighboring states to lift an "unfair" 4-month-old trade embargo and said...

The Latest: Indonesia says 100,000 should leave...

Nov 27, 2017

Indonesia's Disaster Mitigation Agency says as many as 100,000 villagers need to leave the expanded...

Bali volcano ash drifts 4.7 miles high, airport...

Nov 29, 2017

An erupting volcano with a deadly history on Indonesia's Bali island has spread drifting ash 7,600...

Hillside crashes onto Indonesian farmers; 5 dead,...

Feb 23, 2018

Farmers were working in their rice paddies on the Indonesian island of Java, when the soggy...

Indonesia seizes yacht wanted by US in probe of...

Feb 28, 2018

Indonesia has seized a luxury yacht on the tourist island of Bali that is wanted by U.S....

About Us

Pioneered by experienced entrepreneurs, bankers and software engineers, BursaKL stand tall to bring you the latest state of business and finance from Malaysia and all over the world.

Contact us: sales[at]bursakl.com