Indonesian Political, Business & Finance News

Archive: 3 February 1998

52 articles found

Singapore PM Goh to meet Soeharto

Singapore PM Goh to meet Soeharto JAKARTA (JP): Singaporean Prime Minister Goh Chok Tong is to meet with President Soeharto here today to discuss the economic crisis in Indonesia, it was announced yesterday. "Mr. Goh will discuss with the President the Indonesian financial crisis and the debtors/creditors forum in which a Singapore banker will act as a facilitator," a statement from the prime minister's office said.

Two die in helicopter crash

Two die in helicopter crash MEDAN, North Sumatra (JP): A helicopter crashed into a rubber plantation near the village of Hapesong, 600 kilometers south of here, Sunday morning. The two people aboard were killed. Rescue workers identified the victims as pilot Conrad C. Ferguson, a 34-year-old Australian, and Jospin Simbolon, 28, a computer technician who lived in Serpong, Tangerang regency, West Java. It was the first aircraft accident of the year.

Gulf Indonesia finds gas

Gulf Indonesia finds gas JAKARTA (JP): The state-owned oil and gas company and its contractor Gulf Indonesia Resources Ltd of Canada announced yesterday the discovery of a natural gas reserve on the production-sharing contract-area Block B, southern Jambi.

RI remains attractive to foreign investors: Sanyoto

RI remains attractive to foreign investors: Sanyoto JAKARTA (JP): Foreign investors still see Indonesia as an attractive site for investment despite the economic crisis, State Minister of Investment Sanyoto Sastrowardoyo said yesterday. Sanyoto said as many as 54 foreign investment projects worth US$3 billion were approved last month alone. His office is studying another 97 foreign investment projects for approval.

Government to help market unsold timber: Minister

Government to help market unsold timber: Minister JAKARTA (JP): Minister of Forestry Djamaludin Suryohadikusumo said yesterday the government would help private companies market the more than 5.9 million cubic meters of logs that remained unsold last year. The minister cited the rupiah's sharp depreciation against the U.S. dollar, the prolonged dry season and weakening international demand for timber products as the main reasons for the failure to sell the logs.

Stocks up, rupiah strengthens

Stocks up, rupiah strengthens JAKARTA (JP): Bullish trading returned to the Jakarta Stock Exchange yesterday, with the Composite Price Index surging 14 percent in active trade. In the foreign exchange market, the rupiah also maintained its strengthening performance to close at 10,300 against the U.S. dollar after almost reaching 11,000 in midday trading. Stockbrokers attributed the active trading to the return of foreign investors and a rally in other regional markets.

Fish bombs kill seven fishermen

Fish bombs kill seven fishermen BANDAR LAMPUNG, Lampung: Police are investigating the origin of fishing bombs which killed seven fishermen in Teluk Lampung when they exploded prematurely on Jan. 27. Lampung detective chief Lt. Col. Yoyon Prasetyo said the bombs, believed to weigh more than 10 kilograms altogether, went off on Kelegian islet in Lampung Bay while the fishermen rested. "We are curious as to how the fishermen obtained the bombs," Yoyon told Antara yesterday.

Conversion Rates

Conversion Rates Jakarta (JP): Bank Ekspor Impor Indonesia's (Bank Exim) indicative conversion rates on Feb. 2, 1998 Buying Selling Rp Rp U.S dollar 1 9,000.00 12,000.00 Austrian shilling 1 622.50 914.70 Australian dollar 1 5,653.20 7,766.50 Belgian franc 1 219.80 300.90 Canadian dollar 1 5,722.70 7,819.30 Swiss franc 1 5,607.30 7,676.40 Deutschemark 1 4,516.80 6,226.20 Danish krone 1 1,189.30 1,628.80 French franc 1 1,351.70 1,853.10 Poundsterling 1 13,574.30 18,549.00 Hong Kong dollar 1 1,063.

Four killed in bus crash

Four killed in bus crash CIREBON, West Java: Four people were killed and nine others seriously injured after the minibus they were in skidded and overturned yesterday. Tasdik, 27, the driver's assistant who was among those injured, said the bus was going too fast as it turned left at a busy street. Those who died were the 30-year-old driver Harun, a woman, a two-and-a-half-year-old child, and a 60-year-old beggar, Antara reported. (pan)

12 bus crew cited for ticket rule violations

12 bus crew cited for ticket rule violations JAKARTA (JP): The crews of 12 buses were caught selling tickets far beyond the official rates yesterday as Jakarta prepares for an influx of Idul Fitri holidaymakers, an official said. Oriyanto Sapardal of the City Land Transportation Agency said the crews had been cited for violating the set tariffs and further action would be taken by the Directorate General of Land Transportation. "However, the bus companies have been allowed to continue operating.

Departute tax raised to Rp 1m

Departute tax raised to Rp 1m JAKARTA (JP): The government announced yesterday a 300 percent increase in departure tax imposed on Indonesians leaving the country by airplane to Rp 1 million (about US$100) from Rp 250,000 in an unprecedented move to discourage overseas traveling. Government Regulation No.17/1998 increases the departure tax imposed on those leaving the country via seaports 150 percent to Rp 500,000 from Rp 200,000.

Fire destroys 345 houses

Fire destroys 345 houses MEDAN, North Sumatra: Hundreds of fisherpeople and their families in Aek Muara Pinang, Sibolga subdistrict, were left homeless after fire destroyed 345 houses Jan. 29, a press report said yesterday. There were no reports of casualties but fire fighters and residents had to demolish dozens of houses to isolate the blaze that could not be controlled due to the strong wind, Antara reported.

Forex deposit ceiling set at 2%

Forex deposit ceiling set at 2% JAKARTA (JP): Bank Indonesia (BI) has limited the growth of bank foreign exchange deposits and foreign exchange non-trade and trade-related liabilities to a maximum of 2 percent a month, the central bank announced yesterday. Central bank governor J. Soedradjad Djiwandono said the ceiling for the growth of foreign exchange deposits and liabilities, including letters of credit, should not exceed 25 percent per annum.

BI forex measures deemed inadequate by analysts

BI forex measures deemed inadequate by analysts JAKARTA (JP): Bank Indonesia's (BI) latest move to control bank foreign exchange deposits and liabilities might be ineffective in preventing a further plunge in the rupiah as well as in restoring confidence in the banking sector, analysts have said. "It's meaningless," Hartojo Wignjowijoto of the Asia Pacific Economic Consultancy said yesterday.

Seeking balance between immaterial, material cultures

Seeking balance between immaterial, material cultures By A. Chaedar Alwasilah BANDUNG, West Java (JP): As Indonesians are on the brink of the free regional market era, they need solid cultural foundations to avoid a cultural leg and to survive competition. A theory maintains that immaterial culture -- such as beliefs, traditions, mores, postulates, means and goals -- must constantly "catch up" to material culture -- such as science and technology.

Banking industry reform needs hard efforts

Banking industry reform needs hard efforts The government last week announced a banking policy reform guaranteeing all the claims of depositors and creditors of locally incorporated banks. Economist Kwik Kian Gie discusses the prospects for its implementation. JAKARTA (JP): The government's decision to guarantee all the claims of depositors and creditors of locally incorporated banks, including letters of credit, has been widely welcomed as good and appropriate but it has come too late.

Asia crude market likely to remain weak

Asia crude market likely to remain weak SINGAPORE (Reuters): The Asian crude market was expected to see further downward price pressure this week, with colder weather in Japan unlikely to translate into greater demand, traders said yesterday. Suppliers were hoping for Chinese demand to emerge in the short term in the wake of the Lunar New Year holiday, while an Indian Oil Corp (IOC) tender award of three Dubai cargoes was expected to offer some support to the Middle East market.

Rates for tax payment

Rates for tax payment JAKARTA (JP): The government announced yesterday new official conversion rates as the basis for payment of import duty, value added tax on goods and services, sales tax on luxury goods, export tax and income tax. The new conversion rates will be valid for one week, from Feb. 2 to Feb.

Data slipup

Data slipup We refer to the article on a joint venture for a lube oil plant in The Jakarta Post on Jan. 13 this year. We would like to inform you that the proposed Medan plant will be built by a joint venture with Caltex Asia Ltd, a wholly owned subsidiary of Caltex Petroleum Corporation, and not with PT Caltex Pacific Indonesia which is solely engaged in upstream activities in Sumatra.

Radius meets Japanese bankers

Radius meets Japanese bankers TOKYO (Reuters): A key advisor to the Indonesian government, Radius Prawiro, yesterday met officials of major Japanese banks to ask for support for an economic reform program announced by Jakarta last week, bankers said.

Councilors hail plan on car sticker system

Councilors hail plan on car sticker system JAKARTA (JP): City councilors have hailed the municipality's plan to replace the three-in-one traffic regulation with a car sticker system, which is to start after next month's general session of the People's Consultative Assembly. Amarullah Asbah, head of Commission C for city revenue, said over the weekend that the sticker system could become a new source of revenue. "I believe the municipality could gain more from this system," he said.

Jakarta warned against rejecting new migrants

Jakarta warned against rejecting new migrants JAKARTA (JP): A labor activist and a human rights campaigner warned the Jakarta authorities yesterday against closing the doors of the capital to fresh migrants, calling such a policy ineffective and a human rights violation. Bomer Pasaribu, the chairman of the Federation of All Indonesian Workers Union, predicted increased migration to Jakarta this year as people sought to escape from rural poverty to try their luck here.

Asia a limited problem for Japanese banks

Asia a limited problem for Japanese banks TOKYO (Reuters): Asia's financial crisis will cause only limited problems for Japanese banks, although they are the region's major creditors, bankers and analysts say. Japanese lending in the region is not necessarily riskier than that of European or U.S. banks, because not only do Japanese banks do a lot business with offshore Japanese firms, but they have been lowering their presence in Asia recently, they said.

Year of Art and its meaning

Year of Art and its meaning By Ignas Kleden JAKARTA (JP): On New Year's Eve President Soeharto announced that 1998 was the Year of Art and Culture in Indonesia. And as the two ministers with the President during his announcement were Minister of Education and Culture Wardiman Djojonegoro and Minister of Tourism Joop Ave it is easy to guess that art and culture will be promoted in relation to tourism. In a sense, tourism is a sort of cultural trade.

Thick smog disrupts flights at Samarinda

Thick smog disrupts flights at Samarinda JAKARTA (JP): Thick smog from smoldering forest fires forced the authorities at Temindung Airport in Samarinda, the capital of East Kalimantan, to delay several morning flights yesterday. The airport's manager, Ratno, was quoted by Antara as saying that flights resumed after 10 a.m. after wind blew away the smog. The disruption occurred a day after haze forced flights from another East Kalimantan town, Balikpapan, to be rescheduled.

Response to U.S. rights report a must: Marzuki

Response to U.S. rights report a must: Marzuki JAKARTA (JP): The Indonesian government must explain its human rights policy and its implementation to the United States, a leading human right campaigner said yesterday. Marzuki Darusman, vice chairman of the National Commission on Human Rights, said Indonesia should respond to a recent report by the U.S. State Department criticizing the government's human rights record and policy.

Cleaning up banks

Cleaning up banks The Indonesian Bank Restructuring Agency (IBRA) has plunged immediately into full operations following its establishment on Jan. 27. The agency, in cooperation with Bank Indonesia (the central bank), is finalizing the assessment of all commercial banks and will soon be set to clear the banking industry of losses.

TV today

TV today TVRI 2:00 p.m. News: Berita 14 2:30 My Country 2:35 Children's Film: The Big Valley 3:10 Teenager's Program: Remaja Indonesia 3:35 Development Program: Lintasan Ekonomi 4:30 Science and Technology 5:00 English Lessons 5:30 Documentary: Dirgantara 6:00 The Beloved Country 6:15 Village Program 6:45 TVRI News 7:00 Evening News 7:35 Talk Show: Wawasan 8:05 News: Lintasan Berita 9:00 World News 9:30 Sports: Arena dan Juara 10:40 Film: Martin and Lewis 11:30 Late News Program 2 4:30 p.m.

Film on 'killer' shaman a hit

Film on 'killer' shaman a hit MEDAN, North Sumatra: A newly released movie about a shaman who has admitted killing 42 clients in Deli Serdang district is proving a big success. Movie theaters showing the film, which cost Rp 1 billion (US$100,000) to make, have been packed, Antara reported yesterday. The authorities classified the film "for adults only" because of its sex and violence scenes but many children have been allowed to watch it.

Weightlifting body names five Asiad competitors

Weightlifting body names five Asiad competitors JAKARTA (JP): The Indonesian Weightlifting, Powerlifting and Bodybuilding Association's secretary-general, Djoko Pramono, named yesterday five competitors as most likely to go to the 13th Asian Games in Bangkok in December.

Robbers strike twice in one night

Robbers strike twice in one night BOGOR (JP): Police are searching for a group of robbers who made off with one kilogram of gold jewelry, Rp 1.5 million (US$176.4) and other belongings from two houses in Tanah Sereal district, Bogor, an officer said yesterday. Bogor Police chief Lt. Col. Edmon Ilyas said four unidentified men stole the gold jewelry and Rp 1 million in cash from a house belonging to a towel trader, FX Andi Susanto, on Jl. Ampel, early Thursday morning.

Asian currencies firmer on dollar liquidation

Asian currencies firmer on dollar liquidation SINGAPORE (Reuters): Asian currencies powered higher yesterday as U.S. and European banks and hedge funds cut their long dollar positions after Thailand's surprise scrapping of its two-tier foreign exchange system.

Family dies in head-on crash

Family dies in head-on crash JAKARTA (JP): A family was killed Sunday when a public minivan struck a motorcycle on Jl. Raya Jonggol in Bogor. Madi, 40, his wife and their two-and-a-half-year-old child were on the motorcycle and heading to relatives' houses for Idul Fitri celebrations. The man, a resident of Mampir village in Cileungsi district, Bogor, had overtaken another motorcycle when he collided at high speed with the minivan coming from the opposite direction, Antara reported.

More Batam firms to get ISOs

More Batam firms to get ISOs JAKARTA (JP): State-owned PT Surveyor Indonesia's representative office in Batam has targeted at least 12 local companies to get ISO 9000 and ISO 14000 certifications this year for their quality management and environmental quality management. The company's branch office manager, Dadang Yogaswara, said Surveyor Indonesia (SI) would continue in its efforts to have more companies in the area receive ISO certifications. Batam is the country's largest industrial zone.

ABRI's trust in Soeharto part of a 'strategic plan'

ABRI's trust in Soeharto part of a 'strategic plan' JAKARTA (JP): The Armed Forces (ABRI) reaffirmed yesterday its commitment to renominating President Soeharto even if there was a change in its leadership. ABRI spokesman Brig. Gen. A. Wahab Mokodongan said the Armed Forces choice of Soeharto was part of its "strategic plan" to help restore the ailing Indonesian economy.

Investors eye N. Sumatra

Investors eye N. Sumatra JAKARTA (JP): Many Malaysian and Singaporean investors are expressing an interest in horticulture businesses in Simalungun regency, North Sumatra, a senior official has said. The head of the agribusiness department of the Ministry of Agriculture, Ato Suprapto, said Indonesia's horticulture industry showed promise, especially for exporting. "Malaysian and Singaporean investors plan to develop a chili, cabbage, vegetable and fruit industry in Simalungun regency.

Fire leaves 30 people homeless

Fire leaves 30 people homeless JAKARTA (JP): A fire gutted four houses and left at least 30 people homeless on Jl. Mangga Besar IX in West Jakarta yesterday. No fatalities were reported and damages were still being estimated. West Jakarta Fire Department sent 13 fire engines to the blaze which was believed to have started at 7 p.m. The fire was extinguished one and half hours later.

Journalism must maintain truth

Journalism must maintain truth I would like to emphasize the importance of maintaining truth and accuracy in the press, with reference to some recent events in Indonesia and the United States of America. The press has always taken pride in being society's watchdog, but we must always remember to ask: who watches over the press itself? Does freedom of the press also means freedom to insinuate, exaggerate, misinform, distort, and even violate ideals of truth in journalism?

Tough warning reduces absenteeism at city hall

Tough warning reduces absenteeism at city hall JAKARTA (JP): A majority of the 5,000 civil servants at City Hall showed up at work yesterday after the Idul Fitri holiday, apparently in response to tough disciplinary measures against absenteeism. Based on rough attendance records, only 121 of the city's civil servants were absent for various reasons, ranging from being on leave, on assignment, sick or just absconding for the day.

Immigration asks Sofjan to delay all overseas trips

Immigration asks Sofjan to delay all overseas trips JAKARTA (JP): The Directorate General of Immigration has asked businessman Sofjan Wanandi to remain in Indonesia because of his possible involvement in a bomb blast last month. Directorate spokesman M.A. Ghani, was quoted by Antara as saying yesterday that the request was issued last Thursday pending an official appeal to ban the business tycoon from going overseas.

Stock Exchange

Stock Exchange Stock prices on the Jakarta Stock Exchange (in rupiah) on Feb. 2, 1998: Shares Close Change Trading Volume ----------------------------------------------------------- Ades Alfindo 500 -100 5,000 AHAP Insurance 350 0 0 Alter Abadi 200 25 301,500 Alumindo Light Metal 275 25 202,000 Alumindo Perkasa 250 0 0 Aneka Kimia Raya 700 50 453,000 Aneka Tambang 1,875 225 20,079,000 Anwar Sierad 125 25 4,000 Apac Centertex Corp.

Malaysia launches regional offensive on Asian crisis

Malaysia launches regional offensive on Asian crisis KUALA LUMPUR (AFP): Malaysia is launching a regional diplomatic offensive with Prime Minister Mahathir Mohamad and his deputy expected to visit five countries over the next two weeks to discuss the Asian economic crisis, officials and news reports said yesterday. Mahathir and Deputy Prime Minister Anwar Ibrahim are expected to visit Japan, the Philippines, Singapore, Taiwan and Thailand as part of the initiative.

Firmer Asian currencies likely: Analysts

Firmer Asian currencies likely: Analysts SINGAPORE (Reuters): Asian regional currencies have lost as much as 80 percent of their value since the crisis first hit last July but later this year the picture should look much rosier, financial analysts said. The fixed or semi-fixed currency regimes that were prevalent across Asia at the beginning of last year were basically blown apart by widening current account gaps.

More violence hits Java, Sulawesi as rumors abound

More violence hits Java, Sulawesi as rumors abound JAKARTA (JP): Hundreds of people attacked and looted shops in Java and Sulawesi yesterday following rumors of dramatic increases in prices of basic commodities. The fresh mob violence hit the East Java town of Pasuruan, Ujungpandang in South Sulawesi and Banawa in Central Sulawesi. In Pasuruan, hundreds of people attacked one shop and eight houses in the town's Kraton market, about 60 kilometers south of Surabaya, local police chief Lt. Col.

75 detained in crackdown against unwanted migrants

75 detained in crackdown against unwanted migrants JAKARTA (JP): Law enforcement officers briefly detained at least 75 people at two bus stations yesteday they thought were "undesirable" workers moving to the capital in search of employment. The crackdown was part of the city's annual population control program to prevent unskilled workers from flooding Jakarta after the Idul Fitri holiday. The 75 people were rounded up in Kampung Rambutan and Pulogadung bus terminals, both in East Jakarta.

Farming deserves more attention

Farming deserves more attention From Neraca I do not agree with people who say that the agricultural sector has been bypassed by monetary upheavals, as put forward by Mr. Sunarsip in his article 'Obstacles in development of the agriculture sector' in Harian Ekonomi Neraca of Jan. 23. Reality shows that the agriculture sector has been hit by the impact of the monetary crisis.

Youth organization chairman arrested in gambling den sting

Youth organization chairman arrested in gambling den sting JAKARTA (JP): The chairman of the Golkar-affiliated Pemuda Pancasila youth organization, Yorris Raweyai, 47, was apprehended Thursday for alleged gambling. But he was released the following day. Jakarta Military Command spokesman Lt. Col. D.J.

Seven teenagers die in road race

Seven teenagers die in road race MEDAN, North Sumatra: Seven teenage motorcyclists were killed after they were involved in a chain collision during a road race here last week, a press report said yesterday. Eyewitnesses said they saw the illegal racers crash into each other on Jl. Letda Suyono while the youths were racing at top speed, Antara reported. Police said that in a separate incident, four people on two motorbikes were killed last week when they crashed into each other.

Where to go in Bandung:

Where to go in Bandung: Exhibition * Painting Exhibition: International Indonesian Paintings Exhibition 1998 by Jeihan, Popo, Erica Hestu Wahyuni, Krisna Murti, Faizal, Maria Tjui, etc., at the lobby level Grand Aquila Hotel, Jl. Dr. Djundjunan No. 116, Bandung, to Feb. 28. Music and Entertainment * Hotel Grand Aquila, Jl. Dr. Djundjunan No. 116: - Paparazzi Club: Shelter Band (Reggae music), Friday night. Bombastic Band (Top 40), Saturday night. * Holiday Inn, Jl. Ir. H. Juanda No.

Palm oil industry liberalized

Palm oil industry liberalized JAKARTA (JP): The government will soon issue technical directives for the liberalization of foreign investments in the palm oil industry, Agriculture Minister Sjarifudin Baharsjah said here yesterday. Baharsjah said after a meeting with President Soeharto that the new directives, being prepared jointly with other related ministries, would simplify licensing procedures for foreign investment in oil palm plantations.

Samudera ups its stake

Samudera ups its stake SINGAPORE (Reuters): Samudera Shipping Line Ltd said yesterday it had raised its stake in its fully-owned subsidiary Foremost Maritime Pte Ltd to 40,655,000 ordinary shares from 9,915,000 shares. Samudera had bought 30,740,000 ordinary shares of Foremost Maritime at S$1 each on Jan. 26, a company statement said. Samudera had also bought two ordinary shares at S$1 each from Regional Transport Pte Ltd and proposed to purchase a further 49,998 ordinary shares at S$1 each.

Who's stronger, the IMF or us?

Who's stronger, the IMF or us? From Pikiran Rakyat I could not help being stunned and uttering words of admiration after seeing a TV report on the powerful International Monetary Fund (IMF). With his arms crossed over his chest, the IMF's executive director, Mr.