Govt upbeat over 2002 privatization target<\/p>\n
The Jakarta Post, Jakarta<\/p>\n
Despite facing tough challenges and a close deadline, the
\ngovernment expressed optimism that it would be able to meet the
\nprivatization target of Rp 3.9 trillion (US$438 million) this
\nyear.<\/p>\n
"This is not a mission impossible," State Minister of State
\nEnterprises Laksamana Sukardi told reporters on Wednesday on the
\nsidelines of a ceremony.<\/p>\n
He said that so far the government had collected some Rp 2.26
\ntrillion in privatization proceeds, and additional proceeds were
\nexpected to come from the sale of shares in publicly listed
\ntelecommunications firm PT Indosat, and non-listed property firm
\nPT Wisma Nusantara.<\/p>\n
Laksamana, however, added that political support for the
\nprivatization program was crucial to ensure that the proceeds
\ntarget could be achieved.<\/p>\n
The privatization proceeds will be used to help reduce the
\nstate budget deficit.<\/p>\n
For the past couple of years, the government has been facing
\ndifficulties in privatizing state-owned enterprises due to strong
\nresistance from politicians, employees, various uncertainties in
\nthe country and the global economic slowdown.<\/p>\n
The government initially set the 2002 privatization proceeds
\ntarget at Rp 6.5 trillion, but it recently revised down the
\ntarget to Rp 3.9 trillion due to the above various obstacles.<\/p>\n
In each of the past two years, the government failed to meet
\nthe privatization proceeds target.<\/p>\n
For next year, the government is targeting to raise some Rp 8
\ntrillion from the privatization program.<\/p>\n
Commenting on the higher proceeds target for next year,
\nLaksamana said that it was not out of reach, so long as the world
\neconomy improved and there was strong public support.<\/p>",
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"sponsor": "Okusi Associates",
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