Dian Kuswandini, The Jakarta Post, Jakarta | Thu, 05/22/2008 11:25 AM | Supplement
Ten years after the infamous May 1998 riots, when many Chinese-Indonesians - most of them businesspeoplefell victim to rampaging mobs, only improvements to regulatory frameworks have been made to integrate the ethnic group into Indonesian society.
Three top Chinese-Indonesian businessmen said they no longer found discriminative regulations in Indonesia, and that they experienced largely equal treatment to other business players from different cultural backgrounds.
Didi Darwis from the Committee of the Indonesia and China Cooperation said the latest citizenship law in 2006, which recognizes Chinese descendants as Indonesian citizens, had freed them of the "step child" feeling they had experienced before.
Didi's businesses, grouped under holding company Ling Brothers, range from investment to the property sector.
"We're very grateful for the law as we have committed ourselves to supporting investments in the country," Didi told The Jakarta Post recently.
Since the 1998 upheaval, a number of discriminative regulations have been revoked, allowing Chinese-Indonesians to feel more comfortable.
"Since the reform era, Chinese-Indonesian businesspeople have felt it easier to do business in the country," Didi said.
"The pattern here is now the same as everywhere else, if you're smart enough to snatch an opportunity, then you'll get it, no matter who you are."
Sofyan Wanandi, chairman of the Indonesian Employers Association, said since the reform era, a perception that Chinese-Indonesians controlled the economic sector in the country had slowly diminished.
"Now people know that such stigma was created by Soeharto for his political purposes and they have realized that the stigma was wrong," said Sofyan.
Before 1998, there was a common perception that Chinese-Indonesians controlled the economy in collaboration with Indonesian power elites, Sofyan said. The New Order regime's strategy of maintaining a handful of Chinese businessmen as Soeharto's cronies was behind this image.
Tycoon Liem Sioe Liong, for example, gained his fortune through good relations with Soeharto. Liem was allowed to benefit from a string of financial favors, including monopolies, licenses and state bank loans.
"We know that there are now no more people like Liem Sioe Liong," Sofyan said.
"We can easily find many wealthy *melayu' business players now, not only Chinese.also witnessed the birth of many successful young business players."
Sofyan said this showed no ethnic group had a dominant hold on the economy.
"Both indigenous and Chinese-Indonesian business players have played important roles in the economy."
"We can see now indigenous and Chinese-Indonesian business players have cooperated very well because they realize they have the same goals."
"(Chinese-Indonesian-owned) Indofood, for example, has beneficial partnerships with local-owned small-scale bakery companies and shops," he said.
Sudhamek Agoeng of Garudafood said 10 years after the reformation, many business players who left the country with their capitals had finally returned home and started up their businesses again.
Still, problems remain.
"Despite the old players returning home and expanding their businesses, investments from new players have been relatively low, "Sudhamek told the Post.
Sofyan said, "It's true many of them have already returned to Indonesia and bought their assets again. But they're actually still in a wait-and-see frame-of-mind due to uncertainties in the country."
With street demonstrations still taking place almost every day, Sofyan said, there was still uncertainty over Indonesia's economic stability.
"After the (May) riots, many invested in China and Vietnam, and they found it more profitable to do businesses there. So, for us, business development opportunities are still slow after the reformation era."
He said even though the government had relaxed controls on Indonesian-Chinese freedom rites, progress was still only surface deep.
"While those new regulations are definitely positive, they are only political statements... written on paper. It's more important to know that such regulations will have a real effect," Sofyan said.
Ten years after the infamous May 1998 riots, when many Chinese-Indonesians - most of them businesspeoplefell victim to rampaging mobs, only improvements to regulatory frameworks have been made to integrate the ethnic group into Indonesian society.
Three top Chinese-Indonesian businessmen said they no longer found discriminative regulations in Indonesia, and that they experienced largely equal treatment to other business players from different cultural backgrounds.
Didi Darwis from the Committee of the Indonesia and China Cooperation said the latest citizenship law in 2006, which recognizes Chinese descendants as Indonesian citizens, had freed them of the "step child" feeling they had experienced before.
Didi's businesses, grouped under holding company Ling Brothers, range from investment to the property sector.
"We're very grateful for the law as we have committed ourselves to supporting investments in the country," Didi told The Jakarta Post recently.
Since the 1998 upheaval, a number of discriminative regulations have been revoked, allowing Chinese-Indonesians to feel more comfortable.
"Since the reform era, Chinese-Indonesian businesspeople have felt it easier to do business in the country," Didi said.
"The pattern here is now the same as everywhere else, if you're smart enough to snatch an opportunity, then you'll get it, no matter who you are."
Sofyan Wanandi, chairman of the Indonesian Employers Association, said since the reform era, a perception that Chinese-Indonesians controlled the economic sector in the country had slowly diminished.
"Now people know that such stigma was created by Soeharto for his political purposes and they have realized that the stigma was wrong," said Sofyan.
Before 1998, there was a common perception that Chinese-Indonesians controlled the economy in collaboration with Indonesian power elites, Sofyan said. The New Order regime's strategy of maintaining a handful of Chinese businessmen as Soeharto's cronies was behind this image.
Tycoon Liem Sioe Liong, for example, gained his fortune through good relations with Soeharto. Liem was allowed to benefit from a string of financial favors, including monopolies, licenses and state bank loans.
"We know that there are now no more people like Liem Sioe Liong," Sofyan said.
"We can easily find many wealthy *melayu' business players now, not only Chinese.also witnessed the birth of many successful young business players."
Sofyan said this showed no ethnic group had a dominant hold on the economy.
"Both indigenous and Chinese-Indonesian business players have played important roles in the economy."
"We can see now indigenous and Chinese-Indonesian business players have cooperated very well because they realize they have the same goals."
"(Chinese-Indonesian-owned) Indofood, for example, has beneficial partnerships with local-owned small-scale bakery companies and shops," he said.
Sudhamek Agoeng of Garudafood said 10 years after the reformation, many business players who left the country with their capitals had finally returned home and started up their businesses again.
Still, problems remain.
"Despite the old players returning home and expanding their businesses, investments from new players have been relatively low, "Sudhamek told the Post.
Sofyan said, "It's true many of them have already returned to Indonesia and bought their assets again. But they're actually still in a wait-and-see frame-of-mind due to uncertainties in the country."
With street demonstrations still taking place almost every day, Sofyan said, there was still uncertainty over Indonesia's economic stability.
"After the (May) riots, many invested in China and Vietnam, and they found it more profitable to do businesses there. So, for us, business development opportunities are still slow after the reformation era."
He said even though the government had relaxed controls on Indonesian-Chinese freedom rites, progress was still only surface deep.
"While those new regulations are definitely positive, they are only political statements... written on paper. It's more important to know that such regulations will have a real effect," Sofyan said.
