Riau more attractive to S'pore<\/p>\n
SINGAPORE (AP): A new Indonesian law giving local regions more
\nautonomy has made the country more attractive to business people
\nin neighboring Singapore, the city-state's foreign minister said.<\/p>\n
Indonesia enacted a fiscal decentralization law in January
\nthat gives additional powers and a greater share of government
\nrevenue to the vast archipelago's 364 local districts.<\/p>\n
\"With regional autonomy we can expect more Singapore
\nbusinessmen to explore business opportunities in the regions and
\ndeal directly with the provincial authorities,\" Foreign Minister
\nS. Jayakumar said in Parliament on Tuesday.<\/p>\n
Despite Jayakumar's optimism, investment prospects in much of
\nIndonesia are uncertain because of recent communal violence in
\nseveral regions and concerns surrounding President Abdurrahman
\nWahid's ability to govern the country.<\/p>\n
But prospects appear to be better in the mineral-rich Riau
\nprovince, which is only 20 kilometers (12 miles) from Singapore.
\nSingaporean investors hope more autonomy there will mean less
\nbureaucratic red tape, since transactions won't have to go
\nthrough the capital, Jakarta.<\/p>\n
\"Riau will be especially attractive, I think, to our
\nbusinessmen because of the region's proximity to Singapore and
\nthe already extensive links which many of our private sector have
\nin the area,\" he said in response to minister's questions about
\nSingapore-Indonesian relations.<\/p>\n
Riau's people have been pushing for more autonomy amid
\ncomplaints that profits from natural resources there lined
\npockets in Jakarta.<\/p>\n
Jayakumar said Singapore had set up a consulate and a trade
\noffice in the capital of Riau, Pekanbaru, in anticipation of
\nfurther business in the region.<\/p>\n
Singaporeans have invested heavily in Bintan and Batam, the
\nRiau islands closest to the wealthy city-state. Most of the golf
\nand beach resorts and some of the industry on the islands are
\ncontrolled by Singaporeans.<\/p>",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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