Indonesian Political, Business & Finance News

Archive: 19 June 1998

57 articles found

RI receive $1b trade loan from Japan's Exim Bank

RI receive $1b trade loan from Japan's Exim Bank JAKARTA (JP): The country's crippled export industry will soon get a boost of a US$1 billion trade financing facility from Japan's Exim Bank under a credit agreement signed here yesterday. The yen-denominated loan will be used for guaranteeing letters of credits (L/Cs) issued by banks in Indonesia, which have thus far been rejected by most banks overseas.

One million Moslems expected to participate in mass prayer

One million Moslems expected to participate in mass prayer JAKARTA (JP): Some one million Moslems from Greater Jakarta are expected to join a special service to pray to Allah at Senayan sports complex eastern parking lot in Central Jakarta on July 5, the organizers said Wednesday. The chairman of the event's organizing committee, Manarul Hidayat, said President B.J. Habibie and other government officials would be invited to attend the service on the Sunday morning.

Yen mediation helps SE Asian currencies

Yen mediation helps SE Asian currencies SINGAPORE (Dow Jones): Southeast Asian currencies rallied across the board against the U.S. dollar, spurred on by joint intervention by the U.S. and Japan overnight to prop up the Japanese yen. However, all but the wayward Indonesian rupiah gave back some of their early morning gains as commercial buyers took advantage of stronger currencies to buy cheap U.S. dollars.

Sjahril says rupiah to remain floated

Sjahril says rupiah to remain floated JAKARTA (JP): Bank Indonesia Governor Sjahril Sabirin said yesterday that the central bank has no plans to reintroduce a managed exchange rate system to arrest the rupiah's free fall against the U.S. dollar. The central bank governor indicated that the reintroduction of a managed floating rate policy and other forms of capital control were no longer effective ways of managing the national currency.

305 riot victims receive loans

305 riot victims receive loans JAKARTA (JP): Three hundred and five small-scale traders in the city whose shops were looted and destroyed in last month's violent riots have received concessional loans worth Rp 483.5 million (US$20,220) to restart their businesses.

Labor fund 'unlikely to curb jobless rate'

Labor fund 'unlikely to curb jobless rate' JAKARTA (JP): A senior manpower official has conceded that Rp 1 trillion (US$66.6 million) earmarked for labor-intensive projects will likely make little headway in stemming the alarming rise in unemployment nationwide. "We must acknowledge that the project is designed not to solve, but to help solve, unemployment," Director General for Labor Placement Din Syamsuddin said at a media conference here yesterday.

Harmful forces 'threaten state'

Harmful forces 'threaten state' JAKARTA (JP): Armed Forces (ABRI) Commander Gen. Wiranto warned yesterday of attempts by certain forces to destroy people's confidence in the government, including the military, which, if not stopped, could lead to national disintegration. "There are people who have systematically been creating rumors to stir trouble.

Conversion Rates

Conversion Rates Jakarta (JP): Bank Ekspor Impor Indonesia's (Bank Exim) indicative conversion rates on June 18, 1998: Buying Selling Rp Rp U.S.

Indonesia at risk of becoming Asia's black hole

Indonesia at risk of becoming Asia's black hole By Dewi Anggraeni MELBOURNE (JP): A recent seminar, launching the 1998 issue of Asia-Pacific Profiles here, hosted by Asialink of the University of Melbourne and Price Waterhouse, projected a cautiously limited optimism on the prospects of economic recovery in the region. The sobering part of this projection is that this optimism, rationed as it was, seems to have eluded Indonesia.

Where to go in Jakarta:

Where to go in Jakarta: Exhibitions * Arts Exhibition: ASEANA, a showcase of ASEAN Cultures, featuring books, video and audio tapes, paintings, photographs, handicrafts, at ASEAN Secretariat, Jl. Sisingamangaraja 70A, South Jakarta (Phone: 7262991), until July 25. Monday to Friday, 9 a.m. - 7 p.m.

Security guard stabbed to death

Security guard stabbed to death JAKARTA (JP): A security officer of the Griya Parahita housing complex at Bumi Serpong Damai in Tangerang was found dead Wednesday after allegedly being stabbed by two associates. The victim, identified as Uci Sanusi bin Saimin, 42, had been stabbed in his chest and neck. He was a resident of Kampung Kandang in Jatake village, Tangerang.

Detained Filipinos to be repatriated

Detained Filipinos to be repatriated MANILA (DPA): More than 130 Filipinos arrested for illegal fishing and other crimes in Indonesia will be repatriated to the Philippines next week during a joint naval exercise, the military said yesterday. Commodore Adolf Borje, commander of naval forces in the southern region of Mindanao, said the 139 Filipinos will be transferred using one of the four Philippine navy boats participating in the four-day exercise.

AAL exports rubber to S'pore

AAL exports rubber to S'pore JAKARTA (JP): Publicly listed plantation firm PT Astra Agro Lestari, a subsidiary of the country's largest automaker PT Astra International, announced yesterday that it had exported 32.6 metric tons of rubber worth US$23,065 to Singapore. The company announced yesterday that it also planned to export 74 tons of ribbed rubber smoke sheets and 150 tons of thick latex in the coming months.

World Bank predicts RI contraction will reach 15%

World Bank predicts RI contraction will reach 15% SYDNEY (Reuters): A World Bank executive said yesterday that the contraction in the Indonesia economy could be up to 15 percent, higher than forecast by policymakers two months ago. "The worst (of the Asian nations) will be Indonesia at 10-15 percent," Jean-Michel Severino, World Bank vice president for East Asia and the Pacific, said in a speech. "Right now we are running the numbers (on the final forecast)," Severino said.

Two new envoys submit credentials

Two new envoys submit credentials JAKARTA (JP): President B.J. Habibie received the credentials of South Korea's new ambassador Hong Jung-pyo and Sri Lanka's new ambassador Tisse Dias Bandaranayke in separate ceremonies at the Merdeka Palace yesterday. Prior to being posted in Jakarta, Hong (left) worked as deputy foreign minister for economic affairs. He joined the foreign ministry in 1968 after completing his studies at Seoul National University's school of economics in the same year.

Traders say Indonesia may cut crude exports

Traders say Indonesia may cut crude exports SINGAPORE (Reuters): Initial estimates of Indonesia's crude export program for July indicate that state oil company Pertamina has cut the July allocations of its main Minas, Cinta and Widuri crudes compared to June, traders said yesterday. Traders said they calculated that total Minas allocations for July will be around 20,000 barrels-per-day (bpd), half the June level.

ASEAN noninterference needs reconsidering

ASEAN noninterference needs reconsidering The ASEAN policy of noninterference has long afforded members of our little community the opportunity to misbehave in the certain knowledge that if the neighbors saw something, they would insist that they had not. The policy enabled us to sit by as wrongs were committed but left us speechless with rage and frustration when the consequences were visited upon us.

Megawati's camp denies ordering chapter takeovers

Megawati's camp denies ordering chapter takeovers JAKARTA (JP): Indonesian Democratic Party (PDI) executives aligned to Megawati Soekarnoputri have denied giving the order for a series of "takeovers" of party offices in several cities. Alexander Litaay, secretary-general of the ousted Megawati's PDI leadership, said yesterday his camp was not involved in persuading followers to take over the headquarters of party chapters from supporters of the government-recognized chairman Soerjadi.

Aquino protests Marcos burial plan

Aquino protests Marcos burial plan MANILA (Reuters): Former Philippine president Corazon Aquino led a street protest yesterday against the planned burial of Ferdinand Marcos at the Heroes Cemetery, saying it was no place for a dictator. The question of where the corpse of a man whose rule has become an international byword for corruption and abuse will be buried has threatened to become a major political issue for incoming President Joseph Estrada, who takes office on June 30.

MPI vows to go it alone despite new forestry group

MPI vows to go it alone despite new forestry group JAKARTA (JP): The Indonesian Forestry Society (MPI) vowed yesterday to remain in existence despite the establishment of a rival forestry society advocating reforms in the sector. MPI spokesman A. Tjipto Wignjoprajitno said the organization would not join forces with the new group, the Indonesian Forestry Society for Reforms (MPI Reformasi), despite overtures from the latter. "It is a free competition.

UCL's steam deliveries

UCL's steam deliveries EL SEGUNDO, Calif. (Dow Jones): Unocal Corp.'s (UCL) Unocal Geothermal of Indonesia Ltd. unit received a $900,000 payment for $4.3 million in March steam deliveries to Gunung Salak electric generating units 1, 2, and 3, creating a shortfall of $3.4 million. In a press release Wednesday, Unocal said Unocal Geothermal operates the Salak field, which is located on the island of Java in Indonesia, and supplies steam to units 1, 2 and 3.

TV today

TV today TVRI 12:15 p.m. World Cup Soccer (rerun) 2:00 News: Berita 14 2:30 Music 2:35 Children's Film: Tom and Jerry Kids 3:05 Sports 3:30 Village Program 4:00 Regional News 4:30 Performance: Cakrawala Budaya 5:00 Music: Paket 27 5:30 Education Quiz: Cerdas Cermat 6:00 News: Lintasan Berita 6:05 My Country: Rona Nusantara 6:15 Sports News 6:30 TVRI News (in English) 7:00 Evening News 7:35 Music 8:00 News: Lintasan Berita 8:05 Music 8:30 Talk Show: Dialog 9:00 World News 9:30 World Cup Program:...

U.S. to resume support for loans to Indonesia: Albright

U.S. to resume support for loans to Indonesia: Albright WASHINGTON (Reuters): United States Secretary of State Madeleine Albright announced Wednesday that Washington would resume support for international lending to Indonesia. "We will support proposals for new World Bank and Asian Development Bank lending to Indonesia," she said in a speech to the Asia Society in New York.

Stable situation

Stable situation Many think that the present government is a legacy of the past with its dark side. I believe, however, that people change, and learn from their and others' experiences to improve themselves. I agree with Gen. Wiranto that we should support, and give a chance for President Habibie and his cabinet to work with their best efforts, and to prove themselves as the responsible and sincere leaders with their full commitment to reformation.

Feeling victimized

Feeling victimized Regarding Sumarsono Sastrowardoyo's letter on June 12, 1998, The Jakarta Post entitled: Feeling victimized, it is clear that despite the many reactions of other readers towards his letters, and the reports of atrocities committed against the Indonesian Chinese, Mr. Sumarsono still insists that it is the Indonesian Chinese that are the ones at fault. In his own words: " ...

Merpati returns 17 leased planes to cut operational costs

Merpati returns 17 leased planes to cut operational costs JAKARTA (JP): The state-owned airline operator PT Merpati Nusantara Airlines (MNA) has returned 17 of its leased planes to cut swelling operating costs. Company president Budiarto Subroto said yesterday that the 17 planes returned to their foreign owners earlier this week included three F-100s, three Airbus-310s, one BAe-146s and 10 F- 28s. "We had to return the leased planes in order to survive in the current sluggish market," he said.

Stock Exchange

Stock Exchange Stock prices on the Jakarta Stock Exchange (in rupiah) on June 18, 1998: Shares Close Change Trading Volume ------------------------------------------------------------ Astra Agro Lestari 2,900 125 230,500 Dharmala Insurance 1,450 0 0 Ades Alfindo 450 0 0 GT Petrochem Industrie 100 25 112,000 AHAP Insurance 575 0 0 Asia Intiselera 150 0 313,500 Argha Karya Prima Industry 200 0 0 Aneka Kimia Raya 200 50 47,000 Alter Abadi 500 -50 824,500 Alumindo Perkasa 200 0 0 Alumindo Light...

Relatives of missing activists meet with ICRC

Relatives of missing activists meet with ICRC JAKARTA (JP): Relatives of missing activists met with representatives of the International Committee of the Red Cross (ICRC) here yesterday in a bid to press authorities to conduct a thorough investigation into the matter.

Indonesia likely to launch debt restructuring plan

Indonesia likely to launch debt restructuring plan NEW YORK (Dow Jones): Indonesia is aiming to launch a program to restructure between US$8 billion and $10 billion in bank debt by the end of June, a source familiar with the country's debt restructuring plan said Wednesday. Indonesia and its bank creditors agreed earlier this month to a plan to restructure about $80 billion in foreign private debt held by Indonesian banks and corporations.

Has the reform movement ground to a halt?

Has the reform movement ground to a halt? One month after Soeharto fell from power, the hurly-burly of the reform movement seems to have calmed down. On the other hand, there is an impression that the government has responded to reform calls half-heartedly. Political analyst J. Soedjati Djiwandono reflects on the issue. JAKARTA (JP): We have a long way to go to total and comprehensive reform.

ABRI to restructure its information center

ABRI to restructure its information center JAKARTA (JP): The Armed Forces (ABRI) information center will soon be restructured and integrated with a similar center from the Ministry of Defense and Security. Outgoing Armed Forces spokesman Brig. Gen. A. Wahab Mokodongan told reporters that the move would increase the chief spokesperson's responsibilities.

Can Pertamina save the nation one more time?

Can Pertamina save the nation one more time? By T.N. Machmud JAKARTA (JP): Minister of Mines and Energy Kuntoro Mangkusubroto has on more than one occasion discussed the need for Pertamina to restructure and to return to its core business. As a former member of the oil and gas fraternity I fully endorse that sentiment. A total overhaul of the way Pertamina conducts its business is long overdue.

Rupiah strengthens to 15,000 to the dollar

Rupiah strengthens to 15,000 to the dollar JAKARTA (JP): The rupiah improved to Rp 15,000 against the U.S. dollar yesterday following a rally by the Japanese yen and intervention by Bank Indonesia (BI) to reduce domestic demand for the dollar, currency dealers said. Stock prices on the Jakarta Stock Exchange (JSX) followed in the rupiah's wake and gained almost 5 percent, with the composite index closing up 20.651 points on 440.093.

Four banks plan to merge

Four banks plan to merge JAKARTA (JP): The publicly listed Bank Mashill Utama, Bank Jayabank International, Bank Artamedia Indonesia and Bank Ciputra announced yesterday their intention to merge to enable them to meet new capital requirements. Bank Mashil said that under an agreement signed yesterday it would become the surviving bank in the merger, with combined assets of Rp 3.6 trillion (US$240 million) and total equity of Rp 563 billion.

Rescuers find body of driver

Rescuers find body of driver JAKARTA (AP): Rescuers have found the body of a Hong Kong movie maker's granddaughter who went missing while scuba diving in Indonesian waters, the National Search and Rescue Agency said yesterday. Singaporean Shaw Su Ling, a 29-year-old granddaughter of Sir Run Run Shaw, and her Dutch companion Phillip Lamette, 31, were reported missing Saturday while diving near Indonesia's Anambas Islands in the South China Sea.

Ecolabeling agency to audit operations of 16 timber firms

Ecolabeling agency to audit operations of 16 timber firms JAKARTA (JP): The Indonesian Ecolabeling Agency (LEI) will audit the operations of at least 16 timber companies this year to ascertain if they deserve to receive ecolabeling certification, the agency's chairman Emil Salim said here yesterday. Emil said the ecolabeling audits would take place on a voluntary basis.

Mandala stewardesses seek legal advice over dismissal

Mandala stewardesses seek legal advice over dismissal JAKARTA (JP): Forty Mandala Airlines stewardesses took legal advice yesterday over their dismissal last month, a decision they claim was groundless and unclear. Wearing their yellow-and-white uniforms, the staff told executives of the Jakarta Legal Aid Institute that their dismissals were baseless since the private airline's performance is currently improving.

PLN has poor calculating system: Kuntoro

PLN has poor calculating system: Kuntoro JAKARTA (JP): Minister of Mines and Energy Kuntoro Mangkusubroto has blamed extreme increases in power prices on a poor calculating system applied by the state-owned electricity company (PLN). "I have checked the situation and found out that it (the extreme rise in power prices) has been caused by a poor calculating system," Kuntoro said.

Rains should not dampen SE Asia smog war: Experts

Rains should not dampen SE Asia smog war: Experts SINGAPORE (Agencies): Southeast Asian environment ministers should not let the torrential rains sweeping the region dampen their efforts to tackle the smog caused by forest fires, experts said yesterday. "We hope the attention doesn't die away because the fires of 1997 and 1998 have gone out. This should be seen as a long-term, chronic problem," said Timothy Jessup, senior policy advisor of the World Wide Fund for Nature (WWF) in Indonesia.

Woman dies in fall on campus

Woman dies in fall on campus JAKARTA (JP): A woman died after a fall Wednesday from a 17- story building on the Tarumanagara University campus at Jl. Letjen S. Parman, West Jakarta. Police identified her as Lie Sioe Ping, 39, a resident of Jl. Petojo in Central Jakarta. Students at the scene of the accident said she was not part of the campus community. Lie's body was found by a scavenger named Suradi at about 10:15 a.m. when he was collecting trash.

Govt considering amending social security: Fahmi

Govt considering amending social security: Fahmi JAKARTA (JP): The government is considering amending the Social Security Law to allow other companies, other than state- owned PT Jamsostek, to run social security programs for workers. Minister of Manpower Fahmi Idris said the government would most likely review Law No. 3/1992 which officially names PT Jamsostek as the sole company allowed to run social security programs for workers.

Governor's request for contributions questioned

Governor's request for contributions questioned JAKARTA (JP): City councilors expressed concern yesterday over a circular signed by Governor Sutiyoso requesting 55 city-owned companies to contribute a total of up to Rp 815 million (US$51,000) for the commemoration of Jakarta's 471st anniversary and Indonesia's 53rd Independence Day.

Japan's food aid to reach Baliem

Japan's food aid to reach Baliem JAYAPURA, Irian Jaya: Some 2.6 tons of highly-nutritious food donated by the Japanese government to indigenous people living in the Baliem valley, Jayawijaya regency, is expected to arrive here this month, an official said yesterday.

Workers strike for wage hike

Workers strike for wage hike JAKARTA (JP): About 800 workers of Bekasi-based yarn company PT Oceanic Cotton Mill Indonesia went on strike Wednesday, demanding wage increases by 15 percent, reduction on income tax collection and improvement of welfare. The workers held a noisy rally and unfurled banners at the firm's factory compound on Jl. Kaliabang in North Bekasi. At about 9 a.m. several representatives of the protesters met with executives of the company's management.

APEC may press ahead with liberalization despite crisis

APEC may press ahead with liberalization despite crisis KUCHING, Malaysia (Reuters): Asia-Pacific ministers will press ahead with efforts to free up trade at a meeting in Malaysia next week despite an economic crisis that has rocked Asia, delegates said on Wednesday. Trade ministers from the 18-nation Asia Pacific Economic Cooperation (APEC) forum meet in Kuching city on Borneo island on June 22-23 in their final run-up to the annual APEC summit, set for mid-November in Kuala Lumpur.

Sukarno supporter revives Indonesian Nationalist Party

Sukarno supporter revives Indonesian Nationalist Party JAKARTA (JP): Former president Sukarno's Indonesian Nationalist Party (PNI) was officially revived yesterday in Yogyakarta by one of his veteran supporters, Supeni. Sunarka, the party's secretary-general, strongly insisted that the party was the continuation of PNI which was founded by Sukarno 18 years before he declared the country's independence in 1945.

Tanri to ring change at Telkom

Tanri to ring change at Telkom JAKARTA (JP): State Minister of the Empowerment of State Enterprise Tanri Abeng said yesterday he would push for the replacement of PT Telkom's chief commissioner at the company's forthcoming extraordinary meeting. He said the company's new chief commissioner, who would replace Agus Haryanto -- who is also the secretary-general of the Ministry of Finance -- should have extensive experience in the telecommunications industry.

Pamapersada-Mincom deal

Pamapersada-Mincom deal JAKARTA (JP): Computer technology provider PT Mincom Indoservices has signed a multimillion dollar contract to equip leading local mining contractor PT Pamapersada Nusantara with the latest computer technology. Mincom said in a statement that its technology would integrate all Pamapersada's operational systems and interconnect the system with its customers and vendors.

USAID pledges more aid for Indonesia

USAID pledges more aid for Indonesia JAKARTA (JP): The United States Agency for International Development (USAID) announced yesterday it would give an additional US$50 million in aid in the form of food and loan guarantees to help crisis-worn Indonesia. USAID administrator J. Brian Atwood told a public forum here yesterday the agency would spend $25 million, in addition to $25 million pledged earlier, to provide Indonesia with 50,000 metric tons of American rice.

Maluku's coral reefs in danger

Maluku's coral reefs in danger AMBON, Maluku: A large number of coral reefs in Maluku province have begun to show signs of deterioration due to the use of chemical substances to catch fish, a local expert warned yesterday. "In our research at Seram island, we discovered that people were using homemade bombs and potassium to catch fish," Nietty V. Huliseland, a senior researcher from Ambon's Pattimura University, said.

80% of C. Java craft firms on the ropes

80% of C. Java craft firms on the ropes SEMARANG, Central Java: More than 80 percent of 3,000 small handicraft companies, including batik firms in the province, are on the verge of bankruptcy as they are no longer able to survive the economic crisis. The chairman of the province's handicraft makers association, Eryanah, said companies in the batik, furniture and woodcarving sectors were the most severely affected due to shortages of raw materials and weak market demand.

Local craftspeople build huge pipe organ

Local craftspeople build huge pipe organ By Yudha Kartohadiprodjo JAKARTA (JP): Although pipe organs are most commonly associated with the grand cathedrals of Europe, it is the hands of Sukabumi craftspeople which are responsible for creating the largest organ in Indonesia. The organ in question is found in Paulus Church, Jl. Taman Suropati, Central Jakarta, and will be inaugurated tonight, the 62nd anniversary of the church.

Three killed in shop-house fire

Three killed in shop-house fire JAKARTA (JP): A two-story shop-house on Jl. Sadar, Cipinang Muara in Jatinegara, East Jakarta, was gutted by fire Wednesday, killing three of the employees, according to an East Jakarta fire department officer. Yoyon Ardisoma, the head of the fire department, said the victims, who are thought to have died after being trapped in the flames, were identified as Awaluddin, 32; Habib, 18 and Suharno, 25.

Who owns the police?

Who owns the police? Many claim that we are a fast-changing society without realizing that some aspects of it have refused to modernize. One notable example is that objectionable attitudes and practices within our police force, the most talked-about component of the Armed Forces (ABRI), have changed little. Police officers are supposed to be close to the people because it is their job to protect them. But the relationship between the two is not as good as should be expected.

S. Sulawesi gets new police chief

S. Sulawesi gets new police chief UJUNGPANDANG, South Sulawesi: Brig. Gen. Mudji Santoso was installed here yesterday as the new provincial police chief, replacing Brig. Gen. Ali Hanafiah. Deputy National Police chief Lt. Gen. Lutfi Dachlan, on behalf of his superior Gen. Dibyo Widodo, swore in Mudji, whose previous posting was at the National Police Headquarters in Jakarta.

Foreign firms proposed for waterfront project

Foreign firms proposed for waterfront project JAKARTA (JP): Councilors have recommended that the city administration offer remaining work on the huge Jakarta waterfront project to foreign companies because embattled local firms do not have the means. Participation of foreign firms is vital to accomplish the reclamation and regeneration of northern areas of North Jakarta, they argued yesterday.

Police detain two for embezzling SEA Games funds

Police detain two for embezzling SEA Games funds JAKARTA (JP): The National Police has detained two suspects for their alleged involvement in embezzling last year's 19th SEA Games sticker funds collected from the public over 18 months. National Police deputy spokesman Col. Bambang Haryoko told a media conference yesterday that officers are currently looking for three other suspects, identified only as YF, IR and DH. The three are on the police's most wanted list, he said.