Border crossing investment<\/p>\n
JAKARTA (JP): A former minister suggested Saturday that
\nIndonesia open its border areas to investors from adjacent
\ncountries in order to prepare itself for regional trade
\nliberalization by the year 2003.<\/p>\n
Emil Salim, former state minister for population and
\nenvironment, urged the government to allow companies from
\nadjacent countries to set up investment projects in border areas
\nwithout having to get licenses from the Investment Coordinating
\nBoard under the spirit of the ASEAN Free Trade Agreement.<\/p>\n
Under the agreement, the member countries of the Association
\nof Southeast Asian Nations (ASEAN) are committed to liberalizing
\ntrade among themselves by the year 2003.<\/p>\n
Citing an example, Emil said that the government should open
\nNorth Sumatra and Aceh for investors from Thailand, Malaysia and
\nSingapore.<\/p>\n
The government should also open North Sulawesi for investors
\nfrom the Philippines and East Nusa Tenggara for North Australian
\ninvestors, he said.<\/p>\n
Speaking about collateral-free loans which will be introduced
\nby banks for small businesses, Emil said that such loans are
\nexpected to help solve property problems in the country.<\/p>\n
The government announced recently that small businesses will
\nbe allowed to raise loans of up to Rp 50 million (US$ 22,200)
\nwithout collateral. Such loans will be provided by state banks,
\nwhich will be followed by private banks.<\/p>\n
However, he urged the government to tighten the supervision of
\nthe loan program to prevent corruption and collusion. (05)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/border-crossing-investment-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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