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Introduction
NATIONAL
CONTRIBUTION REPORT
Beyond Short-
Term Profits
Nurturing People
Process Excellence
& Governance
Planet & Society
Our Associates
NATIONAL CONTRIBUTION REPORT 71
Axiata Group Berhad | Sustainability & National Contribution Report 2016
Figure 1: GVA contribution to the
Indonesian economy 2016
Figure 2: Total capital investment:
2012-2016
Figure 3: Total employment impact
2016
56%
42%
66,019
1,892
930
89,568
Supported by
capital investment
Directly
employed
Outsourced
Operations -
indirectly
supported
158,409
Jobs
supported
2012
746
572
486
362
487
USD million
2013 2014 2015
2016
Economic and Financial Contributions
XL’s total Gross Value Added (GVA) to the
Indonesian economy was approximately
USD3,058 million comprising direct
operational contributions of USD698
million, indirect operational contributions
of USD714 million, capital investment
contributions of USD104 million and
productivity gains of USD1,543 million (see
Figure 1). Productivity gains are defined as
the improvement in national productivity
due to the rise in the mobile penetration
rate. The total GVA of USD3,058 million
was derived from XL’s total opex and capex
of USD998 million and USD487 million
respectively, and the 10.9% increase in the
mobile penetration rate. Every USD1 spent
by XL in Indonesia through its operations
and capital investment added USD1.2 in
GVA to the Indonesian economy in 2016.
Investing and Innovating for the Long
Term
XL invested a total of USD2,652 million
between 2012 and 2016 to improve its
network and in launching new innovative
products and services (see Figure 2). The
OpCo’s total investment of USD487 million
in 2016 represented a 34.6% increase from
USD362 million in 2015. XL further invested
in the country and continued to innovate on
its VAS and quality of services to grow its
presence in the country.
23%
51%
23%
USD104 million
USD698 million
USD1,543 million
USD714 million
GVA by capital
investment
Operational
direct GVA
GVA by productivity
Operational
Indirect and
Induced GVA
USD3,058
million
3%
Contributions to Public Finance
XL contributed USD120 million in taxes
to the Indonesian Government in 2016,
accounting for 0.1% of the country’s total
tax revenue. XL’s tax commitments in
Indonesia include direct taxes such as
corporate and withholding tax, as well as
indirect taxes such as value-added tax and
licensing fees.
Talent Development
XL provided 1,892 direct jobs in 2016 of
which 99% of positions were staffed by
Indonesian citizens. About 32% of XL
employees were women. During the year,
XL engaged 46 new graduates, apprentices
and interns as part of its goal to provide
young people with specialist skills required
in the digital economy. XL’s operations also
indirectly supported an additional 89,600
jobs and outsourced a further 930 jobs. Its
capital investments, meanwhile, supported
66,000 jobs (see Figure 3).
1%
1%
Note: As a % of total GVA contribution; Numbers may not balance due to rounding
NATIONAL CONTRIBUTION
REPORT