Indonesia Family Office Market Targets USD500bn in Global Wealth

Indonesia could attract as much as USD500bn in assets by establishing a competitive family office ecosystem, according to National Economic Council chairman Luhut Binsar Pandjaitan.

The Indonesia family office market initiative forms part of wider efforts to position the country as a major wealth-management destination within Southeast Asia.

Speaking ahead of an international investment forum in Bali, Luhut said the Indonesia family office market could generate substantial capital inflows, improve investor confidence and enhance the country’s profile as an international investment destination.

He said there is potential for approximately USD500bn in assets to flow into the country.

Indonesia is seeking to narrow the gap with established wealth centres such as Singapore and Hong Kong, which host around 1,500 and 1,400 family offices respectively.

Estimates cited by InvestinAsia suggest Indonesia could attract about USD585bn if it succeeds in capturing 5% of global family office assets.

The proposal reflects intensifying regional competition for private wealth and family office capital.