Indonesian Political, Business & Finance News

Archive: 28 July 1998

55 articles found

Enough is enough for RI Chinese

Enough is enough for RI Chinese By Rahayu Ratnaningsih This is the second of two articles on the relationship between people of Chinese and Malay descent in the country. JAKARTA (JP): I would like to take myself as living proof of how cruel sweeping generalizations can be.

Leather exhibition opens

Leather exhibition opens JAKARTA (JP): Minister of Industry and Trade Rahardi Ramelan is due to open today a five-day leather and leather products exhibition at the ministry's office on Jl. Gatot Subroto, South Jakarta. About 30 small-scale producers from Java, Bali and West Nusa Tenggara will exhibit their export-quality products, including clothes, jackets, shoes, bags, balls, suitcases, wallets, saddles and seat covers, every day from 9 a.m. to 5 p.m.

Utut clinches second place in Biel Masters

Utut clinches second place in Biel Masters JAKARTA (JP): A one-day break allowed Indonesian Grand Master Utut Adianto to recoup at the Biel Masters in Switzerland on Sunday. Refreshed Utut demonstrated his usual pressurizing style when playing white to beat GM Florin Gheorghiu of Rumania in the sixth game of the 11-round tournament. But it still took Utut 45 moves in four hours and 25 minutes to force his stubborn opponent to resign.

U.S. Exim Bank doing no new business here

U.S. Exim Bank doing no new business here HONG KONG (Dow Jones): One of the few U.S. government agencies that could help rescue beleaguered Indonesian companies from the ravages of Asia's currency crisis says it hasn't been able to provide any financial assistance. In May, the Export-Import Bank of the U.S. announced a US$1 billion package to help support U.S. exports to Indonesia.

Govt slammed for law on freedom of expression

Govt slammed for law on freedom of expression JAKARTA (JP): Observers have slammed the government for issuing a regulation on "freedom of expression", calling the move undemocratic and antireform. The critics also demanded that President B.J. Habibie call off the four-chapter, 17-article No. 2/1998 regulation in lieu of a law on freedom of expression. The decree says, among other things, that a police permit is required for a street demonstration if it involves more than 50 people.

'Bandung Pos' back in town

'Bandung Pos' back in town BANDUNG: After several weeks of absence, the Bandung Pos reappeared yesterday in a new tabloid format. Its publishers said the tabloid would appear temporarily in this new format three times a week -- Monday, Thursday and Saturday. "For now we're publishing in this format. Insya Allah (God willing) if the price of newsprint stabilizes we can go back to becoming a daily," Bandung Pos' said general manager Teddy Kharsadi as quoted by Antara news service.

Another new political party established

Another new political party established JAKARTA (JP): Members of the Council for People's Mandate (MARA), which includes noted opposition figure Amien Rais, revealed that they had laid the groundwork for the establishment of a political party expected to come into being in less than a month. While no name has been selected for the party, the People's Mandate Party is the one currently being considered by the council.

Sulawesi farmers baffled by high shrimp and bean profits

Sulawesi farmers baffled by high shrimp and bean profits By Arifuddin Saeni UJUNGPANDANG (JP): As Indonesia sinks deeper into an economic abyss, people warily look around for lifeboats. But the metaphor does not apply to cacao and shrimp farmers in South Sulawesi. The disastrous 85 percent fall of the rupiah against the U.S. dollar has been a windfall for farmers in Pangkep, Pinrang, Polmas and Palopo regencies.

Mid-May mayhem boost arms business

Mid-May mayhem boost arms business By Christiani SA Tumelap JAKARTA (JP): The capital is officially a million miles from the Wild West of cowboy films because carrying guns or even sharp weapons on the streets will see you end up in jail. But nightmares of the mid-May mayhem that pierced the hearts of many people have left the public with one certain message: arm yourself rather than be forced to suffer in the anarchy of another riot.

Irianese ask to be repatriated

Irianese ask to be repatriated MERAUKE, Irian Jaya: Most of the 3,000 Irianese border- crossers currently living at the East Awin Camp in Kiungga, Papua New Guinea, have asked to be repatriated, a local officer said. Their hope to return to Irian Jaya was expressed through a form they filled in, the acting head of the sociopolitical affairs office here, Leonardus Letsoin, said.

ASEAN delays its surveillance system: Official

ASEAN delays its surveillance system: Official MANILA (Dow Jones): The start of a pioneering scheme for Southeast Asian countries to mutually monitor each other's economies has been delayed, but the early-warning system to avert future crises in the region isn't being abandoned, a senior official from the Association of Southeast Asian Nations, or ASEAN, said yesterday.

ASEAN grapples with democracy, human rights issues

ASEAN grapples with democracy, human rights issues By Stephen Powell MANILA (Reuters): When the Association of Southeast Asian Nations (ASEAN) admitted military-led Myanmar into its ranks last year, the group hardly seemed to be moving towards more open debate on democracy. Yet today ASEAN is publicly grappling with the issues of human rights and democracy to an extent it never has done before -- partly because of the admission of Myanmar.

Legacy of Bob Hasan's monopoly

Legacy of Bob Hasan's monopoly From Bisnis Indonesia The Association of Indonesian Forest Concessionaires (APHI) has, since 1990, collected from each member compulsory dues amounting to US$2 per hectare for purposes of inventory and mapping of forest concessions. At the time, the total area was estimated at 60 million hectares.

Cabinet must stamp out corruption in ailing banks

Cabinet must stamp out corruption in ailing banks The Indonesian Bank Restructuring Agency (IBRA) has reported increases in liquidity support to ailing banks. Economist Kwik Kian Gie finds disturbing facts about the rife corruption in the banks. JAKARTA (JP): Absence of media reports on the manipulation of financial data of commercial banks under the supervision of the Indonesian Bank Restructuring Agency (IBRA) shows poor concern about corruption.

SE Asian currencies fall in line with Japanese yen

SE Asian currencies fall in line with Japanese yen SINGAPORE (Dow Jones): Southeast Asian currencies are lower against the U.S. dollar late yesterday, in line with losses posted by the Japanese yen. The one exception to the rule is the thinly traded Indonesian rupiah, which managed to gain nearly 2 percent on the day after two protest demonstrations remained peaceful.

July 27 tragedy marked peacefully in other cities

July 27 tragedy marked peacefully in other cities SURABAYA (JP): Commemorations of the bloody incident in Jakarta on July 27, 1996, passed off peacefully yesterday in several cities across the country.

Resolving the crisis more urgent than politics: Poll

Resolving the crisis more urgent than politics: Poll JAKARTA (JP): The majority of respondents in a new poll believe that resolving the economic crisis, not politics, should be the nation's top priority. Conducted by the Institute for the Study and Advancement of Business Ethics, the poll found that 87.3 percent of respondents wished to see the government defuse the economic crisis as the priority, compared to 8.4 percent picking political issues.

Palm oil market eyes ringgit and rupiah

Palm oil market eyes ringgit and rupiah KUALA LUMPUR (Reuters): Palm oil prices in Malaysia and Indonesia are expected to be largely influenced this week by the performance of the ringgit and rupiah, traders said. Chicago soyoil futures, which dragged Malaysian palm oil prices down sharply last week, will also be a crucial factor, they said. "The market is likely to be stable, but it depends on how the rupiah behaves," said a trader in the Indonesian city of Medan in North Sumatra.

Perhapi calls for review of mining firms' merger plan

Perhapi calls for review of mining firms' merger plan JAKARTA (JP): The Association of Indonesian Mining Professionals (Perhapi) called on the government yesterday to reconsider its plan to merge three state mining companies as part of its privatization strategy. Perhapi's chairman Herman Afif Kusumo said the merger plan, which was recently proposed by State Minister of the Empowerment of State Enterprise Tanri Abeng, still contained some weaknesses.

Lottery not disguised gambling: Minister

Lottery not disguised gambling: Minister JAKARTA (JP): Minister of Social Services Justika Baharsyah, insisted yesterday that a planned lottery to raise funds for sports differed from the previous gambling-oriented SDSB scheme. "Unlike the now defunct SDSB, this new lottery contains no numbers. This is all about tickets which offer prizes as commonly seen on TV. People are free to buy them or not," Justika told Antara.

INRO disputes rattle wary Asian rubber market

INRO disputes rattle wary Asian rubber market SINGAPORE (Reuters): Growing dissatisfaction over the International Natural Rubber Organization (INRO) among producing nations is showering Southeast Asia's wary rubber market with more uncertainties, traders said yesterday. "It's not new that Southeast Asian countries threaten to quit INRO and I don't think it can be done very soon, but it makes people nervous," said one Singapore-based trader.

Govt to set new trade finance

Govt to set new trade finance JAKARTA (JP): The government will introduce a new trade finance scheme to help exporters import raw materials and export their products. Director General of International Trade Djoko Moeljono said here yesterday that the new scheme would complement the current scheme, in which the government guarantees Indonesian firms' letters of credit.

Riots in Jakarta

Riots in Jakarta From Sinar Pagi If the lootings and riots in Medan had not been broadcast by private television stations, the looters in Jakarta might not have imitated the action. The Jakarta incidents came after those in Medan. Hamami Nata, former Jakarta regional police chief, once said haughtily that if Jakarta were like Medan, he would wager on his job. Apart from the possibility that the riots were organized, broadcasting or freedom should be accompanied by responsibility.

Haughtiness breeds contempt

Haughtiness breeds contempt Nothing but a tsunami could have shocked me out my daily reveries. And I am positive that the worst ever tidal wave in the era of reform has turned millions into statues from disbelief. What else could I mean but the incomprehensible announcement made by the state secretary and Functional Group (Golkar) chairman that former president Soeharto deserves a Rp 26.5 billion house for his services to the people and state during his 32-year presidency.

Aetna launches new products

Aetna launches new products JAKARTA (JP): Insurance company Aetna Life Indonesia, an affiliate of giant Aetna Inc. of the United States, launched two new policies yesterday geared for life and medical needs. Company general manager Vera Sukawati said one of the new products, Aetna Abadi (Whole Life Aetna), was designed for clients who, in the event of their own death or retirement, wished to ensure the future of family members.

Two new tax bylaws enacted

Two new tax bylaws enacted JAKARTA (JP): The city council enacted two bylaws yesterday on taxes on underground water and surface water, and on hotels and restaurants. Council speaker Edy Waluyo said that besides allowing the city to collect more money, the bylaw on the implementation and use of underground water and surface water was also aimed at preserving the environment. "The bylaw includes a regulation on mechanisms to grant permits on the use of underground water and surface water.

Rates for Tax Payment

Rates for Tax Payment JAKARTA (JP): The 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, valid from July 27 to August 2: U.S.

Freedom of expression?

Freedom of expression? Although only four days have passed since the government enacted Decree No. 2/1998 restricting public protests and demonstrations, it seems safe to say that controversy over the new regulation will grow rather than lessen over the coming weeks. Officially -- and rather ironically -- called the Government Regulation on Freedom of Expression, Decree No.21/1998 basically aims to control public protests and street demonstrations for the sake of "national security and order".

Three-year jail term sought for alleged abortionist

Three-year jail term sought for alleged abortionist JAKARTA (JP): A prosecutor asked the Central Jakarta District Court yesterday to sentence a clinic owner to three years in jail and fine her Rp 3 million for overseeing illegal abortions. Prosecutor Yunan Harjoko told the court that Kurniasih alias Cicih, 51, the owner of Amalia clinic in Tanah Tinggi, was involved in the abortion of an average of 10 babies and fetuses a day since 1995 until she was arrested last December.

Conversion Rates

Conversion Rates JAKARTA (JP): Bank Ekspor Impor Indonesia's (Bank Exim) indicative conversion rates on July 27, 1998: Buying Selling Rp Rp U.S.

Village head urged to quit

Village head urged to quit TANGERANG (JP): Residents of Pasir Jaya village in Jatiuwung district have demanded that their village head, Eddy Syamsudin, quit as they believe he illegally sold a road linking their village to others. At least 500 of their representatives went to the Tangerang Legislative Council yesterday to complain about his alleged act and other malfeasance, including the nepotism he reportedly practiced in employing his relatives in the village office.

Shell, Arco boost presence in SE Asia

Shell, Arco boost presence in SE Asia SINGAPORE (Dow Jones): Royal Dutch/Shell Group (RD) and Atlantic Richfield Co. are boosting their presence in Southeast Asia's natural gas sector, despite the regional economic downturn that's halted many gas infrastructure projects in their tracks. Shell announced last week it's agreed to an international asset swap with Occidental Petroleum Corp. (OXY), under which it will acquire the latter's holdings in Malaysia and the Philippines.

Food poisoning hits orphanage

Food poisoning hits orphanage PALU, Central Sulawesi: At least 12 children from the Aisyiah orphanage were still in intensive care here yesterday after eating donated food on Saturday and coming down with food poisoning. Sixty children aged between two to 16 had to be taken to various hospitals in the area on Saturday. However, most have been allowed to go home, the head of the orphanage Siti Chodidjah said yesterday.

Early warning system for PNG

Early warning system for PNG CANBERRA (AP): A network of seismological beacons will be installed along Papua New Guinea's north coast as an early warning device against future tsunamis, the Australian government said yesterday. Australian scientists will travel to Papua New Guinea today to begin work with an international team of seismologists trying to understand the cause of the disaster, Resources Minister Warwick Parer said.

Political change beginning to show

Political change beginning to show Signs of a newly emerging political constellation in this country are beginning to show. A recent survey held by the Indonesian Institute of Sciences (LIPI) put Amien Rais at the head of the list of potential presidential candidates, with Megawati following closely behind Amien, and B.J. Habibie far behind both of them. The belief that change is progressing slowly in Indonesia is relative in nature.

Court asked to free defendants in Trisakti shooting incident

Court asked to free defendants in Trisakti shooting incident JAKARTA (JP): Defense lawyers in the court martial of two police officers accused of indiscipline during the Trisakti shooting incident continued to demand the release of their clients yesterday, arguing they had acted according to existing police guidelines throughout the fateful day. The two officers, company commander First Lt. Agus Tri Heryanto and platoon commander Second Lt.

TV today

TV today TVRI 2:00 p.m. News: Berita 14 2:35 Children's Film: The Big Valley 3:05 Children's Program: Anak Indonesia 3:30 Village Program 4:00 Regional News 4:30 Music: Lagu Pop Daerah 5:00 English Lessons 5:25 Film: Anak Seribu Pulau 6:00 News: Lintasan Berita 6:05 Management Program: Kiat Usaha 6:15 Sports: Monitor Olah Raga 6:30 TVRI News (in English) 7:00 Evening News 7:35 Music: Tunas Vokalia 8:00 News: Lintasan Berita 8:05 Music: Tunas Vokalia (contd.) 8:30 Talk Show: Dialog 9:00 World...

Local markets ends higher following peaceful rally

Local markets ends higher following peaceful rally JAKARTA (JP): The Indonesian financial markets gained ground yesterday, with the rupiah breaking the psychological barrier of 14,000 against the U.S. dollar and stock prices increasing, after fears of more social unrest proved groundless. Currency dealers said the rupiah rose to the day's high of 13,700 to the dollar before closing at 13,800/900, up from Friday's close of 14,100.

Local banks agree to help export-oriented companies

Local banks agree to help export-oriented companies JAKARTA (JP): The government signed yesterday a memorandum of understanding with 21 local banks to provide loans worth about Rp 2.5 trillion (US$185.2 million) to help revive export-oriented industries. Minister of Finance Bambang Subianto said the banks were relatively healthy and had the capacity to provide the loans, which would be guaranteed by the government.

Taiwan condemns RI for ethnic Chinese abuses

Taiwan condemns RI for ethnic Chinese abuses TAIPEI (Agencies): Taiwan yesterday warned Indonesia against condoning a spread of human rights abuses and sexual assault against ethnic Chinese. "Ethnic Chinese have been a major power behind Indonesia's economy," Foreign Minister Jason Hu told reporters.

Thousands attend peaceful PDI rally

Thousands attend peaceful PDI rally JAKARTA (JP): Thousands of people attended a peaceful rally at Megawati Soekarnoputri's home in Kebagusan, South Jakarta, yesterday to commemorate the second anniversary of the forced takeover of the Indonesian Democratic Party's (PDI) headquarters. Clad in predominantly red, the party's colors, the Megawati loyalists claimed to have traveled from throughout Java, Sumatra and even Sulawesi.

Govt to end Jamsostek's monopoly

Govt to end Jamsostek's monopoly JAKARTA (JP): President B.J. Habibie has agreed to end the monopoly of the state-owned PT Jamsostek to run social security programs for workers, a minister said yesterday. Minister of Manpower Fahmi Idris said the government would soon revise law No. 3/1992 to enable other institutions to work in the social security business.

S'pore promotes chemicals industry as growth engine

S'pore promotes chemicals industry as growth engine By Raj Rajendran SINGAPORE (Reuters): Singapore is firing up a second engine, the chemical industry, to propel its economy out of the regional chaos and into the next millennium. But analysts say the strategy is not without its pitfalls, and point to new mega projects coming up in Thailand and Malaysia that promise to offer stern competition in a climate of shrinking regional demand.

House no 'rubber stamp' anymore

House no 'rubber stamp' anymore From Bisnis Indonesia The House of Representatives managed to reduce the 1998/1999 state budget submitted by the government from Rp 277.14 trillion to Rp 263.89 trillion. It is a positive sign and has no precedent in the 32 years of the New Order reign. The modification of the state budget went through tough discussions from Friday last week to Tuesday, day and night.

Lippobank chief endorses scheme to help ailing banks

Lippobank chief endorses scheme to help ailing banks JAKARTA (JP): The government should encourage healthy banks to take over the nonperforming loans of ailing banks to help breathe new life into the country's ailing banking industry, a noted banker suggested here yesterday. Chairman of Lippobank Mochtar Riady said yesterday the healthy banks should then swap the nonperforming loans with convertible bonds with the defaulting companies.

Exports of subsidized goods banned

Exports of subsidized goods banned JAKARTA (JP): A three-week ban goes into effect today on exports of several subsidized commodities to prevent the goods, most of which are imported, from being reexported. Minister of Trade and Industry Rahardi Ramelan said yesterday the ban was imposed to ensure adequate domestic supply of the commodities and their price stability as there had been a high outflow of the subsidized goods.

Do we really have a crisis of national leadership?

Do we really have a crisis of national leadership? By Mochtar Buchori JAKARTA (JP): Do the leaders of this nation have the ability to lead the country out of the present economic and political crises? Will they be able to use the power entrusted to them to impel their respective followers into collective action to pull the country out of the present economic and political quagmire? I have asked these questions many times, and I am never sure if I know the answer.

30 teams enter English debating competition at UI

30 teams enter English debating competition at UI JAKARTA (JP): Should the Indonesian military remain in politics? Should Indonesia lease some of its islands? Is Asterix really mightier than Obelix? Are monarchies really a thing of the past? Should anyone ever become a sex symbol? These are some of the issues -- 90 altogether -- that have been offered by organizers of the inaugural university English debating tournament which begins this weekend at the University of Indonesia (UI) campus.

'No turnaround in sight' for Asia automobile market

'No turnaround in sight' for Asia automobile market TOKYO (Reuters): The severe slump in Southeast Asia's auto markets is likely to linger after dismal results for the first half of the year, analysts say, although fresh car financing schemes may offer some relief, albeit modest.

Life gets harder for Pelus river rock smashers

Life gets harder for Pelus river rock smashers By Agus Maryono and Ngadi Utomo PURWOKERTO, Central Java (JP): The one-year-long economic crisis has brought increasingly hard times for the countless "strongwomen" along the Pelus river who traditionally make a living smashing rocks. Not only do they earn less because the crippling crisis has brought construction projects to a grinding halt, they are suffering because their hard-earned money does not stretch nearly as far as it used to.

Burning of office investigated

Burning of office investigated BOGOR (JP): Police are currently investigating the destruction and burning of an office owned by PT Beauty Mulyanto, a firm which manages sand quarrying, at Tamansari village in Rumpin district here Sunday, an official said yesterday. Bogor police chief Lt. Col. Ferial Manaf said that, based on information from witnesses, about 100 people who were involved in the mayhem arrived at the site in two trucks at about 9 a.m.

Stock Exchange

Stock Exchange Stock prices on the Jakarta Stock Exchange (in rupiah) on July 27, 1998: Shares Close Change Trading Volume ------------------------------------------------------------ Ades Alfindo 350 0 0 AHAP Insurance 575 0 0 Alter Abadi 525 -25 60,500 Alumindo Light Metal 300 0 0 Alumindo Perkasa 225 0 0 Aneka Kimia Raya 200 0 8,000 Aneka Tambang 2,650 75 21,262,000 Anwar Sierad 100 0 12,500 Apac Centertex Corp.

Rich people urged to give donations to city orphanages

Rich people urged to give donations to city orphanages JAKARTA (JP): Councilors and city social services office officials appealed to the capital's rich yesterday to spare part of their fortunes to help 54 penniless and overcrowded orphanages. The orphanages are badly in need of donations, they said, after being ignored by their usual donors in recent months due to the prolonged monetary crisis.

Bayer allowed to export

Bayer allowed to export JAKARTA (JP): PT Bayer Indonesia said yesterday it had been awarded Pharmaceutical Inspection Convention certification which enables the company to export its pharmaceutical and over- the-counter products to Europe, Australia and New Zealand. Bayer said in a statement the certificate was issued by the Therapeutic Goods Administration Australia, also a member of the international auditing body for the pharmaceutical industry.

Peat reclamation project yields harvest of discord

Peat reclamation project yields harvest of discord By Yudha Kartohadiprodjo JAKARTA (JP): Good intentions do not always yield good results, particularly if the actions are carried out without careful consideration. A case in point is the ambitious one-million-hectare peat reclamation program, intended to change peat swamp forest in Central Kalimantan into agricultural land.