OPTIMISTIC INDONESIA

RECENT WORLDWIDE ACCLAIM

“Prudent fiscal policies”World Bank 2014

“Remains an excellent opportunity for investment”McKinsey

“ An economy driven by domestic consumption”Standard Chartered Bank Economic Analyst

“Most optimistic middle class in the world” Nielsen

“Steady economic growth in climate of political stability” Bain & Company

254,000,000 Population(estimated June 2014)

74,000,000 Middle Class

US$3,234 Per Capita Income

92.8 % Literacy

5.8% GDP Growth 2013

10 Largest Economy3 In Asia(World Bank)

Moody’s Indonesia’s sovereign rating :stable, external pressures manageable

Ranking in Global Competitiveness Index: Indonesia moved from 74th in 2005 to 38th in 2013

US$2,058 Billion GDP

3-5% Inflation

53% Urban Population produce74% of GDP

25 Cities home to at least 500,000 Middle Class

55Million Skilled Workers

0.5 Trillion market opportunityIn consumer serviced, agriculture & fisheries,resources and education

Home to 15 million Cars67 MILLION Motorcycles

Cars: 5.5 MILLIONMotorcycles: 8.5 MILLION

Jakarta vehicle numbers: 14 million

Jakarta Total Road 7650 Km2 Meters per Car, if all came out same timeit’s 11,000 KmWorld bank

99% Own mobile phones250 Million (Sept 2013)

Nobody is Working! Indonesian spent 181 minutes per day on smartphonesHighest in the World

36 MILLION Internet Users

OUTLOOK

Over the next 15 years, Indonesia will gain 80 million new consumers, accounting for 40% of the new consumers in the Association of Southeast Asian Nations (Asean) over that period.1

Estimates by the Brookings Institution indicate that Indonesia will become the fourth-largest middle-class country by 2030, behind India, China and the US.

Indonesia’s high consumer confidence scores consistently top and Indonesians typically report household budget flexibility that far exceeds the global average.

Nielsen Global Rankings)

Modern retail sales in urban areas across Indonesia are expected to grow an average of 7.3 percent/year during 2012 to 2017 (Euromonitor).

46%of the products were categorized as premium, 32 percent were mainstream, and 22 percent were value-oriented.(Nielsen study on 13 fmcgs)

About 60 percent of the products that make up the super-premium basket are discretionary items in categories such as chocolates, biscuits and moisturizing creams.(Nielsen Global Rankings)

Indonesian Shopping Basket

Companies will look to launch more high-end brand variants to cater to demand among upper-income consumers (whose purchasing power is likely to remain strong even in the midst of a weak economic environment) and ensure healthy profits.

Many companies will offer products in smaller packaging sizes in order to be able to offer more affordable prices aiming to expand their consumer bases to reach more price-sensitive consumers from lower to middle income groups.

OTHER FACTS

Regional Economic Growth

ECONOMIC GEOGRAPHY

17,000 Islands1,904,569 sq km 5,271 km Length (N-S)

2,210Km Breadth (E-W) 673 Airports

Maluku dan Papua2,6%

Bali dan Nusa Tenggara

5,5%

Jawa 57,49%

21,31%Sumatera 5,8%

Kalimantan7,31%Sulawesi

20Sumber: SP 2010

Population Distribution

Population Indonesia by age. Median age 26.2

AGE

The majority of fastest growing cities are outside Java.

Indonesia's Population is Growing and Becoming More Affluent

Tourist Arrivals 8.5 million(2014 Estimate)

Projected to be top in region in Internet usage

Indonesia’s retail landscape is still dominated by traditional trade and small-format outlets

Dollar flies high Back to Normal

“Always Friendly” “ Strong! Are you?

Yesterday Presidential Elections, Whatever the outcome, it looks good .

INDONESIA. Strong. Are you?

Thank You