“Once the pandemic is over, demand will pick up again,” Lusida said. “People with money would still want to travel and spend time at luxury resorts, own properties like condominiums.”
Tanoesoedibjo, who founded the media and real-estate conglomerate MNC Group in 1989, also runs his own political party. The businessman, who expanded his empire by acquiring television stations once owned by the family of former President Suharto, attended Trump’s inauguration in 2017 and has often touted his friendship with Trump’s children.
Amid the slowdown caused by the coronavirus outbreak in the country, MNC Investama is planning to buy back a part of the $231 million of dollar-denominated bonds due 2021, after previously considering seeking extension on the payments, Tanoesoedibjo said.
Shares of MNC Land and MNC Investama were unchanged at close in Jakarta on Wednesday.
$50 Billion Stimulus
Indonesia has reported 47,896 cases of Covid-19 and 2,535 fatalities from the disease, surpassing Singapore as the country with the most number of infections in Southeast Asia. The nation’s central bank has cut its benchmark interest rate twice this year, while lawmakers are pushing Bank Indonesia to shoulder the bulk of the government’s $50 billion stimulus plan.
While the MNC Group has faced some challenges, the pandemic has also provided an unexpected boost to its media businesses. Its pay TV service has managed to add 250,000 new customers each month since a partial lockdown was imposed, exceeding the company’s expectations, while its broadband internet users have also risen sharply, Tanoesoedibjo said.
But, the property market is set to see many changes because of the pandemic, he said.
“There’s a noticeable shift,” he said. “Therefore we need to change our strategy.”