Aburizal Bakrie
Aburizal Bakrie | |
|---|---|
| Born | November 15, 1946 Jakarta, Indonesia |
| Occupation(s) | Entrepreneur, politician |
| Years active | 1972–present |
| Known for | Leadership of Bakrie Group, Chairman of Golkar Party, Coordinating Minister for Economy and People's Welfare |
Aburizal Bakrie (born 15 November 1946) is a notable Indonesian entrepreneur and political figure, recognized for his leadership of the Bakrie Group conglomerate. He held the position of Coordinating Minister for the Economy from 2004 to 2005 and subsequently served as Coordinating Minister for People's Welfare between 2005 and 2009. Bakrie chaired the Golkar Party from 2009 until late 2014, before reassuming the chairmanship in May 2015.
Among his commercial ventures is his association with Energi Mega Persada, which was linked to the contentious Sidoarjo mudflow disaster.
Early life and education
Born in Jakarta on 15 November 1946, Aburizal Bakrie is the eldest child of Achmad Bakrie, the founder of Bakrie & Brothers and the Bakrie Group. He has three siblings: brothers Nirwan and Indra Usmansyah Bakrie, and sister Roosniah Odi Bakrie. In 1973, he graduated with a degree in electrical engineering from the Bandung Institute of Technology.
Business career
Aburizal Bakrie began his career in 1972 at PT Bakrie & Brothers Tbk, now known as the Bakrie Group, a multifaceted conglomerate operating across sectors including agriculture, real estate, commerce, shipping, banking, insurance, media, manufacturing, construction, and mining. The group grew in tandem with Indonesia’s economy during the Soeharto period.
As chairman from 1999 to 2004, he steered the company through the challenges posed by the 1998 Asian economic crisis, successfully managing debt restructuring and retaining control following refinancing efforts in 2000.
Public offices
From 1991 to 1995, Bakrie served as President of the ASEAN Business Forum and led the Indonesian Chamber of Commerce and Industry (KADIN) from 1994 to 2004. As an active member of the Golkar Party, he pursued its presidential candidacy in 2004.
Coordinating Minister for Economy
In 2004, after stepping down from PT Bakrie & Brothers Tbk, Aburizal Bakrie was appointed by President Susilo Bambang Yudhoyono as Coordinating Minister for the Economy. His nomination initially met with skepticism. Soon after joining Yudhoyono’s cabinet, Bakrie introduced measures aimed at lowering Indonesia’s poverty rate by 3%, which included reducing fuel subsidies and reallocating assistance to approximately six million beneficiaries.
He supported incremental increases in fuel prices to prevent subsidies from straining the national budget excessively and to bring domestic fuel costs closer to global market levels. By October 2005, following two adjustments, fuel prices had risen by 126%. This policy was endorsed by Standard & Poor's, which regarded it as a crucial step toward alleviating fiscal burdens and enhancing Indonesia’s external financial position.
To counteract declining crude oil production, Bakrie played a key role in resolving a protracted dispute between ExxonMobil Corporation and PT Pertamina concerning operational control and profit-sharing related to the Cepu Block—one of Indonesia’s most significant oil discoveries in recent decades.
The year prior, Bakrie had affirmed the government’s dedication to settling disagreements like those surrounding Cepu as well as other conflicts with foreign investors, signaling an intention to foster a more favorable investment environment in Indonesia.
Coordinating Minister for People's Welfare
After a cabinet reshuffle in 2005, Aburizal Bakrie was appointed as the Coordinating Minister for People's Welfare. In May 2008, he introduced a direct cash assistance initiative valued at $1.52 billion, aimed at aiding close to 19 million low-income families and alleviating the effects of escalating fuel prices.
Chairman of Golkar party
In 2009, Bakrie secured the position of Chairman of the Golkar Party, surpassing contenders Surya Paloh, Yuddy Chrisnandi, and Hutomo Mandala Putra. By May 2010, he successfully established a parliamentary majority coalition in partnership with President Susilo Bambang Yudhoyono's party and was subsequently appointed as its leader.
Sidoardjo mudflow disaster
The Sidoarjo mudflow, which erupted on 29 May 2006 in Sidoarjo, East Java, is closely associated with Bakrie. This event caused significant environmental destruction and loss of life. The origins of the disaster remain contested: some experts link it to a natural phenomenon—a 6.3-magnitude earthquake near Yogyakarta two days prior—while others, including government officials, attribute responsibility to drilling operations by PT Lapindo Brantas, a company under Bakrie family control. Media perspectives have varied.
Environmental advocates demanded the revocation of PT Lapindo Brantas’ drilling permit due to alleged mismanagement; however, a police investigation spanning three years concluded without any formal charges. Supporters such as Golkar legislator Satya Widya Yudha and PDI-P deputy chairman Effendi Simbolon defended the Bakrie family by framing the incident as a natural disaster and endorsed compensation initiatives while condemning political exploitation. In contrast, PDI-P legislator Eva Kusuma Sundari criticized both Lapindo and the government for failing to adequately compensate victims.
By 2013, the mudflow had inflicted nearly seven years of economic devastation on Sidoarjo, submerging more than 6,000 hectares, displacing approximately 40,000 residents, and flooding numerous subdistricts, villages, structures, and agricultural fields.
Presidential elections 2014
In 2010, media reports indicated Aburizal Bakrie’s intention to pursue the Golkar Party’s presidential nomination for Indonesia’s 2014 election. Since then, Bakrie openly expressed his ambition to secure the candidacy. Golkar began exploring potential vice-presidential running mates, with figures such as Sri Sultan Hamengkubuwana X, Governor of Yogyakarta; Pramono Anung, Secretary General of the Indonesian Democratic Party; Dahlan Iskan, Minister of State Enterprises; and Edhie Baskoro Yudhoyono, son of President Susilo Bambang Yudhoyono, being considered.
Bakrie’s early nomination sparked criticism within the party from members advocating for a caucus-based candidate selection process. Golkar advisory board chairman Akbar Tanjung described this approach as "undemocratic," arguing it excluded other contenders from participating. Bakrie dismissed such critiques as "political attacks," while some emphasized the importance of selecting a candidate early given Indonesia’s vast population and complexity.
On 30 June 2012, during Golkar’s Leadership Meeting in Bogor, Bakrie was officially confirmed as the party’s presidential nominee. In his acceptance remarks, he highlighted the significance of faith and unity in advancing Indonesia’s development.
As for choosing a vice-presidential partner, Golkar Deputy Chairman Agung Laksono announced that this decision would be deferred until 2013.
Opinion polling revealed Bakrie trailing behind rivals such as former general Prabowo Subianto of the Great Indonesia Movement Party and former President Megawati Sukarnoputri, daughter of Indonesia's inaugural President, Sukarno.
See also
External links
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- 1946 births
- Bandung Institute of Technology alumni
- Golkar politicians
- Indonesian billionaires
- Indonesian businesspeople
- Indonesian Muslims
- Indonesian socialites
- Living people
- Politicians from Jakarta
- Businesspeople from Jakarta
- People of Batak descent
- Lampung people
- Bakrie family