IMF and WB ready to work with new RI government<\/p>\n
WASHINGTON (Reuters): The World Bank and International
\nMonetary Fund congratulated Indonesia's new president on
\nWednesday and said they were ready to work with the government
\nthere to realize Indonesia's immense potential.<\/p>\n
Statements issued after ailing Muslim leader Abdurrahman Wahid
\nwon Indonesia's first contested presidential election, beating
\nthe popular favorite Megawati Soekarnoputri, said the vote was a
\nwatershed for the troubled Asian country.<\/p>\n
\"I congratulate Mr Abdurrahman Wahid on his election as
\nIndonesia's fourth president,\" IMF Managing Director Michel
\nCamdessus said.<\/p>\n
\"The IMF looks forward to working with the new president and
\nhis administration on building on the macroeconomic gains
\nachieved so far.... Indonesia has immense economic potential,
\nwhich the IMF is determined to help the new government fully
\nrealize.\"<\/p>\n
Low inflation, falling interest rates and a stable currency
\nprovided a good basis to restore international confidence in
\nIndonesia, Camdessus added.<\/p>\n
Indonesia is still seeking funds from a US$45 billion
\ninternational rescue package put together two years ago, as the
\ncountry struggled to cope with a crashing currency, rising debts
\nand a collapsing economy.<\/p>\n
But the IMF put its cash to Indonesia on hold earlier this
\nyear amid a scandal surrounding payments from Bank Bali to
\nmembers of the Golkar party of former president B.J. Habibie. The
\nfund wants Indonesia to publish an independent audit of the bank
\nand to prosecute anyone involved in wrong-doing.<\/p>\n
The 1997 rescue package also includes billions of dollars from
\nthe World Bank and bank officials said in a separate statement
\nthey were ready to help Wahid's new government develop a
\nprogram for a successful economy.<\/p>\n
\"I extend my sincerest congratulations to the newly elected
\npresident of the Republic of Indonesia,\" said World Bank
\nPresident James Wolfensohn. \"The peaceful conclusion of
\nIndonesia's first truly democratic general election represents a
\nmomentous occasion in the country's history and an important
\nwatershed for East Asia.\"<\/p>\n
Wolfensohn told Wahid in a letter that the World Bank wanted
\nto help Indonesia make the best use of its \"tremendous human and
\nnatural resources.\" \"We recognize that Indonesia faces many
\neconomic challenges, some of which require resolution in the very
\nshort term,\" he said.<\/p>\n
The IMF on Tuesday welcomed an Indonesian decision to approve
\npublication of the Bank Bali audit as a \"first step and a crucial
\nturning point\" in freeing up new cash.<\/p>\n
A spokesman said the IMF would soon set a date to send a new
\nteam to Indonesia to examine the economy and decide whether to
\nrecommend new payments from the existing loan.<\/p>\n
The Bank Bali scandal badly damaged former leader Habibie's
\nalready weak image ahead of the presidential election. Parliament
\nrejected his policies at a early-morning session earlier this
\nweek and then elected Wahid in a surprise vote.<\/p>",
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"sponsor": "Okusi Associates",
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