Indonesian Political, Business & Finance News

Archive: 5 February 1998

52 articles found

House curbs travel budget due to financial crisis

House curbs travel budget due to financial crisis JAKARTA (JP): The House of Representatives decided yesterday to curb its travel budget and other expenses due to the financial crisis. Deputy House Speaker in charge of economic and financial affairs Abdul Gafur said the budget cuts would force the legislature to delay trips to Mexico and Poland and reduce the number of legislators sent to remote areas during recesses.

Officer detained for stealing $10,000

Officer detained for stealing $10,000 JAKARTA (JP): A police officer has been detained and questioned by the internal affairs unit for allegedly stealing US$10,000 from his superior, a police source said yesterday. The officer, identified as First Sgt. Adi, is the driver for the head of National Police Directorate of Traffic Police, Brig. Gen. Ansyar Roem. "Ansyar has accused Adi of stealing the money which he put in his official car," the source, who asked for anonymity, said.

Where to go in Bali:

Where to go in Bali: Music and entertainment * Ramada Bintang Bali, Kuta: - La Brasserie Cafe Restaurant: Crosstil Quatro, daily. - Alun-alun Lounge: The Heart Beat Band, nightly except on Thursday, 8:30 p.m. to 12:30 a.m. - Poolside Open Theater: Tek-Tekan Dance, Saturday. Legong Terompong Dance, Tuesday. Ramayana Dance, Thursday. - BB Discotheque: Fashion show, every Friday. Dance show by Andromeda, Friday, 9 p.m. to 3 a.m. - Coconut Wharf Restaurant: Italian Cuisine Beach Side, daily, 8 a.m.

WB admits errors over RI economy

WB admits errors over RI economy JAKARTA (JP): World Bank chief James Wolfensohn admitted yesterday that his organization had "got it wrong" and been over- optimistic about Indonesia's economy before it sank into crisis last year. But he said Indonesia's lack of confidence in its own future had contributed to the devastating extent of the crisis and that the country must address a raft of issues itself in order to recover.

QSC sale to RI canceled

QSC sale to RI canceled CANBERRA (Reuters): Queensland Sugar Corp (QSC) said yesterday that an Indonesian refinery has canceled the planned purchase of about 200,000 tons of raw sugar. QSC said the refinery, operated by PT Bermis, is believed to have stopped production. "My understanding is that it's stopped," Michael Bosscher, deputy chief executive of QSC, said of the refinery. "But what we had earmarked for there we have redirected and sold elsewhere," Bosscher told Reuters.

A year of misery

A year of misery According to the Chinese zodiac cycle, 1998 is the year of tiger. But to my mind, it is the year of misery. It is a saddening year, a year for sobbing. This is no fabrication, no exaggeration. A monetary crisis is crippling our country's economy, and prices are skyrocketing. Some employers have had to lay off workers and others will have to do that later this year, thus increasing the number of unemployed. Life is obviously much harder than it was.

No time for rifts

No time for rifts It should hardly need repeating. As many officials and observers have warned in recent months, rumor mills thrive in the climate of mistrust and confusion which the nation is now experiencing. Similarly, people are easily provoked, by word or deed, into actions that will not only hurt the interests of the community as a whole, but their own interests too.

Feisal urges Sofjan to stay in the country

Feisal urges Sofjan to stay in the country JAKARTA (JP): Armed Forces (ABRI) Chief Gen. Feisal Tanjung said yesterday that while business tycoon Sofjan Wanandi was not barred from traveling overseas, he should stay in the country in case he is needed for further questioning. "As a good citizen, he should stay in Indonesia. We've already questioned him but we have not accused him (of any crime)," Feisal told reporters before a cabinet meeting at the Bina Graha presidential office.

The case for gradual reform

The case for gradual reform The economic crisis engulfing our nation has prompted a number of Indonesian politicians and economists to raise the question of the need for political reform. On this subject, Minister of Transmigration Siswono Yudohusodo was quoted as saying a while ago that political reform should be achieved in stages and in step with society's readiness to accept differing opinions.

Stock Exchange

Stock Exchange Stock prices on the Jakarta Stock Exchange (in rupiah) on Feb. 4, 1998: Shares Close Change Trading Volume --------------------------------------------------------- Ades Alfindo 700 0 7,500 AHAP Insurance 350 0 0 Alter Abadi 275 100 386,000 Alumindo Light Metal 300 25 3,569,500 Alumindo Perkasa 250 0 2,000 Aneka Kimia Raya 675 0 239,500 Aneka Tambang 1,900 -25 13,396,000 Anwar Sierad 200 50 730,500 Apac Centertex Corp.

Soldiers sell kerosene

Soldiers sell kerosene JAKARTA (JP): Soldiers in East Java have sold kerosene to the public to sooth widespread fears that the price will rise fourfold, an official said yesterday. East Java Governor Basofi Soedirman said in the provincial capital Surabaya that the move was part of the Armed Forces' commitment to protecting the people. "Soldiers selling kerosene only happens in Indonesia.

Train passengers electrocuted

Train passengers electrocuted JAKARTA (JP): Two teenagers died in separate incidents on railways in South and East Jakarta yesterday. Both youths fell onto the track after suffering an electric shock, bringing the death toll from such incidents to three this year. The victims were identified as Rudi Sarwono, 12, of Gg. Pelangi, Kalibata in South Jakarta and Aris Afrianto, 16, of Perum I, Kayuringin in Bekasi. The first incident happened about 1 p.m. in South Jakarta.

Taxation official defends hike in departure tax

Taxation official defends hike in departure tax JAKARTA (JP): The fourfold increase in departure tax for residents leaving the country by air is aimed at swelling the government's coffers, the director general for taxation said. Fuad Bawazier told Antara Tuesday that the increase, from Rp 250,000 (US$26) to Rp 1 million starting today, was long overdue because the tax had not been raised for 10 years.

Where to go in Surabaya:

Where to go in Surabaya: Music and Entertainment * Mercure Grand Hotel, Jl. Raya Kupang Indah: Pasar Senggol with traditional music - keroncong or langgam, every Wednesday night. * Hyatt Regency Surabaya, Jl. Jend. Basuki Rakhmat 106-128: - The Tavern Pub: Decada Band with a Saxophone player, daily except Sunday 9 p.m. to 1 a.m., Hazztoria Band, live music performance on Sunday, 8:30 p.m. to 12:30 a.m. - Atrium Lounge: Solo Pianist, Monday to Friday, 7 p.m. to 10:45 p.m., Saturday at 7 a.m.

Experts suggest openness to ease social tension

Experts suggest openness to ease social tension JAKARTA (JP): Widespread social unrest could erupt unless the government honestly explains the causes of the economic crisis and its strategy to end it, observers say. Psychologist Acuk Parsudi and criminologist Mulyana W. Kusuma said in separate interviews with The Jakarta Post that the chief cause of the social unrest was the soaring prices of essential commodities.

Lightning strike delays flights

Lightning strike delays flights JAKARTA (JP): The radar system at Soekarno-Hatta International Airport malfunctioned for several hours last night after it was struck by lightning, causing long flight delays. A reliable airport source, who refused to be named, told The Jakarta Post that the crucial system started to malfunction about 6 p.m. during a heavy thunderstorm. "As far as I know, this is the first time such an incident has occurred at this airport," he said.

TV today

TV today TVRI 2:00 p.m. News: Berita 14 2:30 My Country 2:35 Children's Film: Kid Pix Ninja The Wonder Boy 3:10 Science Film: Modern Eye for Traditional 3:35 Religious Teachings: Islam 4:00 Regional News 4:30 Song and Dance: Pelangi Budaya 5:00 Arabic Lessons 5:25 Documentary program 6:00 News: Lintasan Berita 6:05 Nusantara, The Beloved Country 6:15 Village Program 6:30 TVRI News 6:53 Music 7:00 Evening News 7:30 Performances: Cakrawala Budaya 8:05 Variety Show: Tonggak Tonggak Sinetron 9:00...

Man sentenced to 7 years for rape

Man sentenced to 7 years for rape JAKARTA (JP): The West Jakarta District Court sentenced a man yesterday to seven years in jail for rape. Presiding judge Yulie Moein said the defendant, Tju Kim Djung, 32, was found guilty of raping Eli Jumaroh, 23, on Oct. 24 last year in his house on Jl. Kramat in Tambora district. Prosecutor R. Simon had earlier demanded a nine-year jail sentence.

Handling of newcomers under scrutiny

Handling of newcomers under scrutiny JAKARTA (JP): City efforts to prevent "undesirable" workers from entering the capital during the annual post-Idul Fitri influx has drawn mixed reactions from councilors and social experts. City councilors hailed the operation yesterday saying that it was effective in deterring newcomers from entering the capital and aggravating unemployment and population problems. Sociologists believed the operation infringed on people's rights.

DMG's Jakarta units merged

DMG's Jakarta units merged SINGAPORE (Reuters): Deutsche Morgan Grenfell said yesterday its equities division would consolidate its Indonesian operations into its Hong Kong and Singapore offices. The group said in a statement the move continued a process begun last year of streamlining its regional equities business. It said it would continue to cover Indonesia from Singapore and Hong Kong.

WB to disbursing $1b for RI this month

WB to disbursing $1b for RI this month JAKARTA (JP): The World Bank will disburse US$1 billion this month out of the $4.5 billion it pledged in aid to Indonesia as part of the three-year IMF-led rescue package, Finance Minister Mar'ie Muhammad has said. Mar'ie told newsmen after accompanying World Bank President James D. Wolfensohn to a meeting with President Soeharto yesterday evening that $450 million of the disbursement would be allocated to help farmers.

Critical thinking needed

Critical thinking needed The Jakarta Post is to be commended for publishing Y.B. Mangunwijaya's excellent article on Jan. 29, 1998. Yes, we seem to have become a nation of sheep, averse to, or even incapable of, critical thinking; a nation of parrots, screeching platitudes without thought.

City to divulge inventory of property

City to divulge inventory of property JAKARTA (JP): The city administration is to disclose the results of its property inventory next week, Deputy Governor for Administrative Affairs Abdul Kahfi said yesterday. Kahfi said the inventory was compiled by a special team set up last year to probe malfeasance, which led to the illegal acquisition of several city properties. The inventory is expected to highlight the properties which have been illegally transferred to private companies, he said.

Monthly inflation hits 25-year high of 6.88%

Monthly inflation hits 25-year high of 6.88% JAKARTA (JP): The monthly inflation rate for January hit a 25- year high of 6.88 percent due to sharp increases in the prices of food, housing, clothes and services, Minister of Information R. Hartono said yesterday. Hartono said the January inflation rate was much higher than the previous record high of 2.04 percent in December.

Dentist probed for hoarding oil

Dentist probed for hoarding oil MAGELANG, Central Java: Police here are questioning a dentist on suspicion of hoarding 200 drums and 1,000 boxes of lubricant oil worth more than Rp 200 million (US$20,000). Antara reported yesterday that the police found the lubricant oil at the home of the dentist identified only as HM in Temanggung on Tuesday after a tipoff from neighbors. Local police chief Col. Deddy S.

Dhaka to get ADB loan

Dhaka to get ADB loan DHAKA (AFP): The Asian Development Bank (ADB) is to disburse US$40 million this month to help develop Bangladesh's capital market, a newspaper reported here yesterday. The amount would come out of a total aid commitment of US$80 million and was announced Tuesday by a visiting ADB team after a primary review of reforms in Bangladesh's two stock exchanges, the Financial Express daily reported.

Korean credits to RI $5.3b

Korean credits to RI $5.3b SEOUL (AFP): South Korean financial institutions had some US$5.3 billion in debt exposed to Indonesia at the end of 1997, including $2.4 billion in loans, a finance ministry tally showed yesterday. South Korea's direct investment in Indonesia also stood at $1.45 billion at the end of 1997, Yonhap news agency said, citing ministry sources.

National repentance

National repentance From Forum Keadilan A series of calamities has bedeviled our country in recent months, the impact of which is well beyond our comprehension. The nation may now have to go through a period of collective introspection. Three catastrophes rocked Indonesia in 1997 and tarnished the country's reputation with the rest of the world. First, sporadic rioting caused damage to property and claimed numerous lives.

Ministers reflect on the past in their last cabinet meeting

Ministers reflect on the past in their last cabinet meeting JAKARTA (JP): Yesterday's monthly cabinet meeting at the Bina Graha presidential office to review the economy was the last before the government is dissolved next month, and some ministers have begun reflecting quietly on their service. Few were willing to share their thoughts with journalists however.

Pertamina launches market operation

Pertamina launches market operation JAKARTA (JP): State-owned oil and gas company PT Pertamina launched a massive market operation yesterday by dropping a large quantity of lubricants at the gas stations across the city to help stabilize the market. The operation, which is reportedly the first of its kind ever staged by Pertamina, also involved the company's dealers.

Asian currencies shed gains as baht wilts

Asian currencies shed gains as baht wilts SINGAPORE (Reuters): Asian currencies surrendered some of their gains to demand for cheap dollars late yesterday as the Thai baht -- a star performer in recent sessions -- fell back through a key support. Declines in regional stock markets also depressed Asian currencies, along with the U.S. dollar's late spike up after Russian President Boris Yeltsin said U.S. President Bill Clinton's moves on Iraq could lead to world war.

Water bomber readied to fight forest fires

Water bomber readied to fight forest fires JAKARTA (JP): The government is to dispatch a Pilatus fire bomber to East Kalimantan to fight the spreading forest fires there, a provincial official said yesterday. "The National Disaster Management Coordinating Board will send the water bomber this Friday to help fight the fires," said Deputy Governor Suwarna Abdul Fatah, as quoted by Antara.

RI needs capital account control: Analysts

RI needs capital account control: Analysts TOKYO (Reuters): Jakarta needs to control the nation's capital account more strictly to help stabilize the rupiah and facilitate the implementation of its structural reform plans, analysts in Tokyo said. "If the rupiah stays around the current 10,000 to the dollar, most of the companies relying on imported goods could soon go out of business," said Norio Mihira, an economist at the Institute of Developing Economies.

Indonesia announces Davis, Fed Cup teams

Indonesia announces Davis, Fed Cup teams JAKARTA (JP): The Indonesian Tennis Association yesterday announced which players would compete in the Davis Cup tie against Japan next week. Association chairman Sarwono Kusumaatmadja said yesterday that Sulistyo Wibowo, Andrian Raturandang and Suhendar Dinata would represent the country in the qualifier in Sapporo, Japan, from Feb. 13 to Feb. 15. They will be accompanied by nonplaying team captain Sulistyono Sukamat.

Yayuk exempted from official 13th Asian Games training

Yayuk exempted from official 13th Asian Games training JAKARTA (JP): The Indonesian Tennis Association has exempted the country's women's number one player Yayuk Basuki from taking part in its training program for the 13th Asian Games in Bangkok. Boedi Basuki, Yayuk's father, said in Yogyakarta, Central Java, yesterday that his daughter was exempted from following the official training program because she would conduct her own training.

Conversion Rates

Conversion Rates JAKARTA (JP): Bank Ekspor Impor Indonesia's (Bank Exim) indicative conversion rates on Feb. 4, 1998: Buying Selling Rp Rp U.S. dollar 1 8,500.00 11,500.00 Austrian shilling 1 549.20 837.90 Australian dollar 1 4,912.90 7,014.30 Belgian franc 1 192.20 278.60 Canadian dollar 1 5,048.40 7,157.70 Swiss franc 1 4,966.00 7,054.80 Deutschemark 1 3,989.10 5,706.40 Danish krone 1 1,050.20 1,492.50 French franc 1 1,193.50 1,697.80 Poundsterling 1 11,964.70 16,953.80 Hong Kong dollar 1 931.

Businesses urge WB to help ease debt problem

Businesses urge WB to help ease debt problem JAKARTA (JP): Indonesian business leaders have urged the World Bank to take a more active role in helping the country's ailing private sector through its affiliated International Finance Corporation (IFC). Teddy P. Rahmat, president of the diversified Astra International company, said here yesterday the World Bank, through its affiliated IFC, should do more to help ease the country's private-debt crisis.

Greater courage needed to face the reality

Greater courage needed to face the reality Indonesia's economic crisis bites deep and spares no one. Wimar Witoelar, a TV host and public affairs commentator, reflects on this issue and suggests possibile wayout. JAKARTA (JP): It must be a bad dream. The canceled vacation trips, computer replacement and office furnishing plans are abandoned like the mega projects we were so satisfied to finally get out of the way.

Southeast Asian cocoa prices fall, supply seen tight

Southeast Asian cocoa prices fall, supply seen tight KUALA LUMPUR (Reuters): Southeast Asian cocoa prices fell sharply this week on strong regional currencies despite firmer New York prices Tuesday due to fund buying. "Before Chinese New Year, prices were hovering at around 6,500 ringgit level, but fell sharply since Monday following sharp appreciation of the ringgit against sterling and the dollar," said an industry source in the Malaysian state of Sabah.

Rupiah strengthens against U.S. dollar

Rupiah strengthens against U.S. dollar JAKARTA (JP): The rupiah strengthened impressively yesterday closing at its highest level in a month at 8,700 against the U.S dollar due to renewed confidence in the country's economy. Currency dealers said the market shrugged off local newspaper reports of sporadic riots in several towns in East Java and Sulawesi.

No layoffs in North Sulawesi

No layoffs in North Sulawesi MANADO, North Sulawesi: The local branch of the Federation of All Indonesia Workers Union claimed yesterday no workers had been laid off since the start of the country's economic crisis. Branch chairman Nip Walintukan said Tuesday that the encouraging news was because industries developed by the province were mostly agro-based, such as canned fish and oil.

U.S. security strategy in SE Asia

U.S. security strategy in SE Asia This is the second of two articles based on a paper delivered by U.S. Secretary of Defense William S. Cohen in Singapore on Jan. 15, 1998 during the officiating of the Institute for Defense and Strategic Studies. SINGAPORE: The United Sates sees several patterns of change in Asia's security environment in spite of the enduring features of its security landscape -- the high stakes, American engagement and presence, and the strong system of bilateral alliances.

Reform needed

Reform needed The urgent need for reform cannot be denied, if only Indonesia can survive the present monetary crisis. Indeed, many think that economic and monetary reform alone are not sufficient to overcome the current turmoil. Political reform is also urgently required. I believe the government agrees with the need to initiate economic and political reform. Some time ago, I wrote in this paper (Jan. 7) that greed was the most likely root of the current problems.

KL tells firms insure foreigners

KL tells firms insure foreigners KUALA LUMPUR (DPA): Malaysian labor authorities have warned employers to insure foreign workers against accidents or face court action and possible jail terms, a news report said yesterday. Human Resources Minister Lim Ah Lek said he was "appalled" to learn that 700,000 legal foreign workers as well as most illegal foreign laborers were uninsured despite a law passed two years ago.

Optimism premature in Asian currency crisis

Optimism premature in Asian currency crisis By Roberto Coloma SINGAPORE (AFP): Asia's currency woes are not yet over despite the buoyancy in regional financial markets because of lingering jitters over Indonesia and other potential problems, bankers and economists said Tuesday. Regional currencies except for the Indonesian rupiah and South Korean won continued to strengthen Tuesday against the U.S. dollar, carrying over Monday's massive gains in Asian foreign exchange and stock markets.

Australian govt to underwrite exports to RI

Australian govt to underwrite exports to RI CANBERRA (Reuters): Australian Prime Minister John Howard said yesterday the government would underwrite Australian exports to financially-troubled Indonesia, one of the country's major trading partners.

Police arrest alleged murderers

Police arrest alleged murderers WAMENA, Irian Jaya: Police here have arrested five people suspected of killing a local villager on Jan. 22. The murder led to rioting and looting on Jan. 26. Jayawijaya police chief Lt. Col.

Sultan of Brunei due in Jakarta this morning

Sultan of Brunei due in Jakarta this morning JAKARTA (JP): The Sultan of Brunei Hassanal Bolkiah and his 30-strong entourage are due to arrive here this morning on a visit to strengthen support for Indonesia's efforts to overcome its economic crisis, Indonesian officials said yesterday. The sultan is scheduled to hold bilateral talks with President Soeharto this morning at the latter's residence on Jl. Cendana, Central Jakarta.

Five drink to the death in contest

Five drink to the death in contest KENDAL, Central Java (JP): A bizarre drinking "contest" claimed the lives of five people and hospitalized another three at a forget-your-financial-woes party yesterday, police said. The five who died before being able to bask in praise for their drinking prowess were identified as jobless men and pedicab drivers aged between 30 and 42. Kendal police chief Lt. Col.

City workers ask WB to remember the jobless

City workers ask WB to remember the jobless JAKARTA (JP): Hundreds of blue-collar workers, most of whom have lost their jobs during the financial crisis, urged visiting World Bank president James Wolfensohn yesterday to keep sponsoring labor-intensive projects. And local women asked Wolfensohn, who toured a slum area and one of the bank-sponsored projects in Kalibaru, North Jakarta yesterday afternoon, to give them more opportunities to participate.

Parties to wait till March to name their VP choices

Parties to wait till March to name their VP choices JAKARTA (JP): The leaders of the three political organizations reiterated yesterday that their factions in the People's Consultative Assembly would unveil their respective vice presidential candidates in March. Golkar chairman Harmoko said his dominant group would not breach the rules by making an early announcement of its choice for the country's second top post.

Yorris denies ivolvement in gambling

Yorris denies ivolvement in gambling JAKARTA (JP): Yorris Raweyai, a member of the People's Consultative Assembly (MPR) who was apprehended last week for his alleged involvement in gambling, has admitted that he was present but only to attend a Chinese New Year celebration. Yorris was quoted yesterday by Assembly Deputy Speaker Abdul Gafur as saying that he was not involved in gambling activities when a group of military personnel raided a venue in West Jakarta last Thursday.