Indonesian textile maker declared insolvent with $2.1bn in debts

More than 12,000 Sritex workers to lose jobs in blow to nation's manufacturing sector

20250228 PT Sritex

One of Indonesia's largest textile manufacturers was declared insolvent on Friday after a long legal battle over liabilities of $2.1 billion. More than 12,000 workers will lose their jobs. (Photo by EPA/Jiji)

ISMI DAMAYANTI

JAKARTA -- Attempts by one of Indonesia's biggest textile companies, Sri Rejeki Isman (Sritex), to appease its creditors and remain operating ended in defeat on Friday when a court declared it insolvent.

More than 12,000 workers will lose their jobs when the business is foreclosed on Saturday, dealing a blow to President Prabowo Subianto's efforts to create jobs in Southeast Asia's largest economy.

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