Fischer, Rizal review RI reforms<\/p>\n
DAVOS, Switzerland (Dow Jones): A top official from the
\nInternational Monetary Fund has met with Indonesia's senior
\neconomic minister to discuss the country's progress on reform,
\nbut no agreement on unblocking a US$400 million tranche of IMF
\nloans under the $5 billion bailout program was reached.<\/p>\n
\"We reviewed the situation - this was not a negotiation,\" IMF
\nDeputy Director Stanley Fischer told journalists Saturday on the
\nmargin of the World Economic Forum here.<\/p>\n
Fischer wouldn't be drawn on any timeframe for a decision on
\nthe loan installment, which the IMF delayed last month after
\nIndonesia failed to complete a number of economic reforms under a
\nletter of intent with the Fund.<\/p>\n
On Friday, Indonesia's Senior Economics Minister Rizal Ramli
\ntold Dow Jones Newswires he is confident his country will meet
\nthe IMF's conditions, and said he expected an agreement on the
\nloan package.<\/p>\n
But Rizal noted a formal decision would require a technical
\nreview by a team from the IMF.<\/p>\n
On the sale of nationalized Bank Central Asia - one of the
\nIMF's conditions - the government is moving towards privatization
\n\"early this year - we have already proposed to Parliament to do
\nthat.\"<\/p>\n
Rizal stressed the strength of Indonesia's economic recovery,
\nnoting that all indicators point to a much better than expected
\nturnaround in 2000, after near-zero growth in 1999.<\/p>\n
Rizal said gross domestic product increased by 4.8 percent in
\n2000, while exports rose 23 percent and retail sales rose 12
\npercent. Electricity usage increased by 11 percent, and capacity
\nutilization rose to around 70 percent-80 percent, from 50
\npercent-60 percent the previous year.<\/p>\n
The budget deficit, meanwhile, was smaller than expected, at
\n3.2 percent of GDP, showing \"the government is very
\nconservative,\" the minister said.<\/p>\n
\"We are on the right track, and we have to keep the momentum
\ngoing,\" Rizal said. \"Of course we have to be careful of the
\nslowdown of the U.S. economy, but since most of our products are
\ncompetitive we are optimistic we will be able to increase our
\nmarket share.\"<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/fischer-rizal-review-ri-reforms-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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