Indonesian Political, Business & Finance News

Archive: 4 July 1998

54 articles found

Hasan questioned on cartel funds

Hasan questioned on cartel funds JAKARTA (JP): Timber tycoon Mohamad "Bob" Hasan was questioned for about three hours by the Attorney General's office here yesterday over fees collected by a plywood cartel that he once headed. "It is correct that Bob Hasan was invited to explain the Indonesian Wood Panel Association (Apkindo) funds. He came and gave an explanation to our team," said Soehandoyo, a spokesman for the Attorney General's office.

North Jakarta mayor wants Kramat Tunggak closed down

North Jakarta mayor wants Kramat Tunggak closed down JAKARTA (JP): North Jakarta Mayor Soebagyo has asked the governor to immediately close the city's only officially recognized red-light district, Kramat Tunggak in North Jakarta. Soebagyo said Thursday that the 11-hectare prostitution complex, currently home to 1,670 prostitutes, had failed in its aim to be a rehabilitation center for people working in the sex trade.

Where to go in Jakarta:

Where to go in Jakarta: Exhibitions * Fine Arts Exhibition: Langkah dan Spirit, in the Hall of The Japan Cultural Foundation, Summitmas I, 2nd Floor, Jl. Jend. Sudirman Kav. 61-62 South Jakarta, 10 a.m. to 6 p.m., until July 15. * Indian Photo Exhibition, in the National Museum, Jl. Medan Merdeka Barat 12, Central Jakarta (Phone: 3811551), Sunday, Tuesday to Thursday, 8:30 a.m. to 2:30 p.m., Friday, 8:30 a.m. to 11:30 a.m., Saturday, 8:30 a.m. to 1:30 p.m., until July 1.

'Bung' Karno's assets abroad

'Bung' Karno's assets abroad In a recent TV report, Probosutedjo, former President Soeharto's half brother, claiming to act as spokesman for the Soehartos said, apparently in an effort to defend the family of the former president, that Soeharto had no assets abroad. If anybody can prove the existence of such assets, he said, these assets may be collected and utilized in the interests of the Indonesian people.

Three wounded in Irian protest

Three wounded in Irian protest JAKARTA (JP): An intelligence officer and two students were injured when a proindependence demonstration on Cendrawasih University campus in the Irian Jaya capital of Jayapura turned violent yesterday, a media report said. The Antara news agency said law student Steven Suripatty was shot in the head and was in critical condition in the hospital. A second student, Korina Onim, was treated for a bullet wound.

Archeological relics discovered in Banyumas

Archeological relics discovered in Banyumas By Agus Maryono PURWOKERTO, Central Java (JP): Two statues of Buddha, possibly made of pure gold, were recently discovered in a grave in a forest near Cikakak village in Banyumas district. The statues, 9 cm and 7 cm tall respectively, were discovered at around 2 a.m. on Kliwon, the most sacred day in Javanese culture, by Muchamad Ruchiyat, who has spent almost half of his life in pesantren (boarding schools in which the Koran is studied).

Big banks win out as forex market shrinks

Big banks win out as forex market shrinks SINGAPORE (Dow Jones): A year after the flotation of the baht signaled the start of Asia's descent into economic crisis, volatility in Southeast Asia's foreign exchange markets has soared but trading volumes have shrunk dramatically. Far from despairing at the loss of their livelihood, however, foreign exchange managers at the larger international banks in the region are confident.

Malaysia may turn to IMF, says Mahathir Mohamad

Malaysia may turn to IMF, says Mahathir Mohamad KUALA LUMPUR (AP): Malaysia may have to turn to the International Monetary Fund if government policies fail to steer the economy to recovery, Prime Minister Mahathir Mohamad said yesterday. "Until now we did not need IMF help because we have taken some measures to help the economy," said Mahathir, one of Asia's most vocal critics of IMF policies.

New police chief vows to foil city's criminals

New police chief vows to foil city's criminals JAKARTA (JP): On his first day as National Police chief, Lt. Gen. Roesmanhadi yesterday vowed to continue his predecessor's program to secure the capital, which has been rocked by a series of armed robberies over the past few weeks. The police would intensify their routine operations and patrol throughout the city to minimize criminal activity, Roesmanhadi said.

DHL welcomes EC's move

DHL welcomes EC's move JAKARTA (JP): DHL International hailed yesterday the European Commission's decision to allow Deutsche Post AG to complete its purchase of 22.5 percent of the company. DHL said in a statement that it believed the investment and future cooperation between the two organizations would significantly benefit customers.

Mexico's Cemex preferred bidder for Semen Gresik

Mexico's Cemex preferred bidder for Semen Gresik JAKARTA (JP): The government has selected Mexico's Cemex SA de CV as the preferred bidder to purchase part of the government's 65 percent stake in publicly listed cement producer PT Semen Gresik. A deputy to the state minister of the empowerment of state enterprises, Sofyan A. Djalil, said yesterday that Cemex offered to acquire 35 percent of Semen Gresik from the government for US$287 million or $1.38 per share.

Spot prices for Indonesian heavy crude strengthen

Spot prices for Indonesian heavy crude strengthen SINGAPORE (Reuters): Spot prices of heavy Indonesian crude were supported as the remaining July barrels fetched firm premiums, traders said yesterday. An equity producer of heavy sweet Widuri was heard to have sold 100,00 to 200,000 barrels to a Japanese trader for July, at 30 cents per barrel over the ICP.

Farming project on neglected land

Farming project on neglected land JAKARTA (JP): Governor Sutiyoso said that he and the city's five mayors are ready to act as guarantors for the public intending to allow the use of neglected land for the cultivation of vegetables or other secondary crops. "The mayors and I will act as guarantors in the utilization of the neglected land," he said at a ceremony for the launching of a farming project on unused land in Sunter Indah housing complex in North Jakarta.

Lao PM visits crash victims' kin

Lao PM visits crash victims' kin HANOI (DPA): The prime minister of Laos, Sisavath Keobounphanh, will meet the families of victims of a May 25 Lao plane crash when he pays an official visit to Vietnam starting on Monday, officials in Hanoi said yesterday. The official condolences he will offer come after Vientiane paid US$10,000 to each Vietnamese family that lost a loved one in the crash, a Lao Embassy official said.

Bodies of accident victims claimed

Bodies of accident victims claimed BOGOR (JP): Relatives have claimed the bodies of five people killed in an accident on the Jagorawi toll road Thursday from the PMI General Hospital, a hospital employee said yesterday. "No one was crying because those picking up the bodies were all men. But from their facial expressions, we could see they were deeply grieving," said the employee, who asked not to be named.

Indonesian Chinese issue

Indonesian Chinese issue It was just recently that President B.J. Habibie stated that Indonesia should no longer use the term pribumi (indigenous Indonesians) and non-pribumi (Indonesians of Chinese descent) to end racial discrimination toward Indonesian Chinese. However, it seems that the President's statement has not been implemented. For example, an advertisement in Kompas, June 20, showed that there are different requirements for those interested in buying an apartment in Jakarta.

World Bank approves $1b loan to Indonesia

World Bank approves $1b loan to Indonesia WASHINGTON (Reuters): The World Bank on Thursday approved a US$1 billion loan to Indonesia and said an additional $6 billion from international donors should be ready soon. The $1 billion structural adjustment loan, part of a $4.5 billion World Bank contribution to an existing $41 billion rescue package, will help Asia's hardest-hit crisis economy reform its battered financial and banking sectors and fund imports of food and other key products.

Bayonet-armed gang attacks vegetable vendors

Bayonet-armed gang attacks vegetable vendors JAKARTA (JP): A group of vegetable vendors at Kebayoran Lama market in South Jakarta were attacked by about 20 bayonet-armed men wearing Navy uniforms in the wee hours of yesterday morning, police said. At least two vendors were severely injured during the onslaught. Jakarta Military Police chief Col.

Helping RI students and the community

Helping RI students and the community One of major worries for parents now is the continuation of their children's education. This is true for parents who have, or wish to send, their children overseas as well as for parents who are educating their children in-country.

Autonomous police force 'unlikely soon'

Autonomous police force 'unlikely soon' JAKARTA (JP): Minister of Defense and Security/Armed Forces (ABRI) Commander Gen. Wiranto said yesterday the National Police would not likely be separated from ABRI any time soon because the move needed thorough preparation. While not completely ruling out the possibility, Wiranto said the capability of the National Police in handling disturbances should be strengthened first.

Senior journalist denies he is Habibie's puppet

Senior journalist denies he is Habibie's puppet JAKARTA (JP): Senior journalist Parni Hadi was installed as the new general manager of the official news agency Antara yesterday, replacing Handjojo Nitimihardjo. Parni, who retains his title as general manager at the Moslem- oriented Republika daily, strongly rejected allegations that he was posted to Antara because he is President Habibie's good friend.

MPR set to hold meeting on Nov. 10

MPR set to hold meeting on Nov. 10 JAKARTA (JP): The People's Consultative Assembly (MPR) will convene for an extraordinary meeting on Nov. 10 coinciding with National Heroes Day, it was announced yesterday. MPR chairman Harmoko, who is also speaker of the House of Representatives, told reporters that the date was earlier than the agreement he had struck with President B.J. Habibie, which was to hold an MPR meeting by the end of the year or beginning of 1999.

RI's recovery 'depends on international confidence'

RI's recovery 'depends on international confidence' JAKARTA (JP): The recovery of Indonesia's crisis-hit economy will depend on the return of international confidence in the country, businessmen said yesterday. "The most important thing at present is how to win back foreign investors' confidence," said James T. Riady, the vice chairman of the Lippo Group. He said that the current economic crisis had sent many businesses bust and had also created a worrying level of unemployment.

Occupied office space continues to decline

Occupied office space continues to decline JAKARTA (JP): Occupied office space in the capital's central business district continued to decline in the second quarter of this year, according to property consultants. Based on their latest survey, Procon Indah/Jones Lang Wooton Research identified a net decrease of 31,700 square meters in the review period, taking the total net decrease to 115,500 square meters in the first half of the year.

Sutiyoso's 'becak' blunder

Sutiyoso's 'becak' blunder Perhaps many of our readers have never seen the creature called a becak, the man-powered pedicab about which the Jakarta authorities have made much fuss lately. This long-forgotten (in the capital at least) means of public transportation, which is inhuman in the way it is operated, has become a hot topic since Jakarta Governor Sutiyoso said he would not prevent their return in several Jakarta areas and then a few days later reversed his decision.

Ceanic works in Java Sea

Ceanic works in Java Sea HOUSTON (Dow Jones): Ceanic Corp. (DIVE) completed the installation of an offsea structure for GFB Resources (Java) Ltd. in the Java Sea north of Surabaya, Indonesia. In a press release Thursday, Ceanic said the structure has a 30-foot by 50-foot single elevation deck with a 10-ton capacity platform crane. In addition to its two internal and two external conductors, he structure accommodates three pipeline risers and a boat landing.

Foundations' funds

Foundations' funds From Republika We were startled by a statement made by a former vice president, Sudharmono, that the funds of four foundations led by former president Soeharto, amounting to Rp 2.4 billion, were deemed too insignificant to hand over to the government. In the present critical economic situation, such a statement is, in my opinion, out of place, considering that life for Indonesians has become increasingly difficult.

Labor intensive program kicked off

Labor intensive program kicked off JAKARTA (JP): Governor Sutiyoso kicked off on Thursday the city's labor intensive program aimed at providing job opportunities to the unemployed and anticipating the impact of the current dry season. The launching of the six-month program was held at Setu subdistrict in Cipayung, East Jakarta.

Toray vows to maintain Indonesian operation

Toray vows to maintain Indonesian operation TOKYO (Reuters): Toray Industries Inc pledged yesterday that the company would not withdraw from Indonesia or move its production bases to other countries despite the economic crisis in the country. Toray, which has 10 Indonesian affiliates with a total of 4,600 workers, wants to expand in the country, although no specific plan has been set, the company's president Katsuhiko Hirai said.

Governor sets aside Rp 50m to drive 'becak' out of city

Governor sets aside Rp 50m to drive 'becak' out of city JAKARTA (JP): Governor Sutiyoso was forced yesterday to set aside Rp 50 million (US$3,333) to pay to transport becak (pedicabs) from Jakarta to whence they came. Sutiyoso said he had channeled the necessary funds to all the city's five mayoralties with each receiving Rp 10 million. "I've also instructed the city's sanitation agency to provide trucks," he said.

Coping with the cross-cultural problems in the business world

Coping with the cross-cultural problems in the business world It takes more for a company to be successful internationally than a quality product and high manufacturing standards. There is a human factor that must be considered. Each person is a product of his or her cultural environment and such "cultural baggage" is one thing that cannot be lost on an intercontinental flight. The view across cultures is clouded, often marked by indiscreet borders, general misconceptions and mutual frustration.

Brothel closures bring problem

Brothel closures bring problem SEMARANG: Following the recent closure of the two largest red- light districts in the city, prostitutes roam the streets at night, prompting worry over the spread of sexually transmitted diseases. Health activists have warned that the city could face serious health problems unless the local government does something to curb streetwalkers.

Bugaboos of the reform movement

Bugaboos of the reform movement By Usadi Wiryatnaya JAKARTA (JP): To the idealist, a genuine democratic system of government means unyielding commitment to the empowerment of the people, law enforcement and human rights implementation. Void of this basic commitment, it deserves neither regard nor recognition.

Police officer candidate for village chief

Police officer candidate for village chief BOGOR (JP): The Bogor Mayoralty Office has promised to revoke a decision made by the Bubulak village chief election committee in West Bogor which annulled the participation of a candidate from the police force. The head of village administration affairs in the office, Edgar Suratman, said on Thursday that the 41-year-old candidate, First Sergeant Ade Wahyudin, could now take part in the July 20 election.

Man with strongest teeth

Man with strongest teeth SEMARANG: The Museum of Indonesian Records has recorded four new entries. Achmad Chambali of Lamongan, East Java, was entered into the records after he demonstrated he was able to peel 66 coconuts with his teeth within three hours. Taufik Hariyanto from Pekalongan, Central Java, was entered into the record for his giant crossword puzzle measuring 3.975 meters long, 2.835 wide and comprising 46,655 boxes.

Hunger brings political apathy to nation

Hunger brings political apathy to nation By Asip A. Hasani YOGYAKARTA (JP): At the height of student protests in May, Gadjah Mada University rector Ichlasul Amal distinguished himself as a strong supporter of the proreform movement. Nearly six weeks after the protests helped bring down president Soeharto, Amal reflected on developments which have transpired on the political scene, particularly prospects for coming elections.

Extortion practices in wood transportation criticized

Extortion practices in wood transportation criticized JAKARTA (JP): A city councilor expressed concern yesterday about the frequency with which owners of vessels transporting sawn timber from outer islands into Jakarta were forced to pay illegal levies. Head of Commission B for economic affairs Djafar Badjeber said that each vessel owner was forced to pay a minimum of Rp 2 million (US$140) per trip. "The Rp 2 million is only for a single trip from Kalimantan or Sumatra to Jakarta," he said.

Habibie revokes Soeharto's rules on foundations

Habibie revokes Soeharto's rules on foundations JAKARTA (JP): President B.J. Habibie has revoked all presidential decrees and instructions issued by former president Soeharto which mandate financial contributions to government- linked foundations, senior officials said yesterday. Among the organizations affected will be social foundations chaired by Soeharto that his opponents charge have been used to amass his personal fortune.

Providing professional human resources development

Providing professional human resources development During the past decade, Northeastern University (NEU), Boston, Massachusetts, U.S., in cooperation with Indonesia, conducted 21 semiannual consultations in Indonesia on the advantages of work- integrated-learning, or cooperative education (co-op). Applying the co-op concept enables employers to attract, train and retain preprofessional candidates for productive assignments.

Palm oil prices unchanged

Palm oil prices unchanged LONDON (Reuters): Reports that Indonesia plans to increase its export duty on crude palm oil to 50-60 percent from 40 percent had little immediate impact in Europe yesterday morning. Crude palm oil opened unchanged despite the rumors. Trade sources in Indonesia said the government planned to increase the palm oil export tax to 50-60 percent to prevent further rises in local cooking oil prices caused by a surge in exports.

Senayan complex 'only for sports'

Senayan complex 'only for sports' JAKARTA (JP): Minister/State Secretary Akbar Tandjung reiterated yesterday that the land in Senayan, Central Jakarta, was only meant to accommodate sports activities. Akbar however welcomed any parties interested in managing the land for profit-seeking purposes. "The government has reserved the plot for national sports to develop. As years passed, we learned that the complex needs professional management," Akbar said.

Providing educational advisory service

Providing educational advisory service The American-Indonesian Exchange Foundation (AMINEF) was established in 1987 to administer the Fulbright Program in Indonesia, and has brought the U.S.-Indonesian program a higher level of cooperation and local involvement. Its founding was the first step toward an intergovernmental agreement to establish a binational education exchange commission that was signed in July 1992 and makes Indonesia and the U.S.

UN envoy due here to brief on Timor

UN envoy due here to brief on Timor JAKARTA (JP): United Nations special envoy for East Timor Jamsheed Marker will arrive here on July 14 to brief officials on his meeting with the Portuguese government, who reportedly gave a "positive" response to Indonesia's proposal on special autonomy status for East Timor Indonesia's foreign minister Ali Alatas told journalists that Marker had returned from Portugal and his preliminary discussions with Indonesia's ambassador to the UN had indicated a...

Govt demands no part of new mining plants

Govt demands no part of new mining plants JAKARTA (JP): Minister of Mines and Energy Kuntoro Mangkusubroto said yesterday that the government would not demand a stake in the country's future mining projects despite a planned change in their contracts. The minister said the emphasis in the new mining policy would be community development in which all investors involved in a mining contract would be required to help develop communities near their mining sites.

Golkar executive board condemned

Golkar executive board condemned JAKARTA (JP): The Golkar board of patrons blasted its executive board yesterday for being late in anticipating and responding to calls for reform. The meeting, chaired by President B.J.

Unions must register with the government

Unions must register with the government JAKARTA (JP): The government has confirmed that workers can establish their own unions but on condition that the unions be registered with the Ministry of Manpower. Director General of Industrial Relations and Labor Standards Mohammad Syaufii Syamsuddin said Minister of Manpower Fahmi Idris has issued a decree in compliance with the International Labor Organization's Convention No. 87 on freedom of association for workers.

Conversion Rates

Conversion Rates JAKARTA (JP): Bank Ekspor Impor Indonesia's (Bank Exim) indicative conversion rates on July 3, 1998: Buying Selling Rp Rp U.S.

Investigate the deaths

Investigate the deaths To draw international sympathy and trust, the government has recently stated the need to investigate the 1975 deaths of five foreign reporters in East Timor. They were Malcom Rennie, Brian Peters, Greg Shackleton, Tony Stewart and Gary Cunningham. This is an appropriate decision and could speed up the settlement of the East Timor question.

Stock Exchange

Stock Exchange Stock prices on the Jakarta Stock Exchange (in rupiah) on July 3, 1998: Shares Close Change Trading Volume ------------------------------------------------------------- Ades Alfindo 375 -50 15,500 AHAP Insurance 575 0 0 Alter Abadi 475 0 169,500 Alumindo Light Metal 325 0 0 Alumindo Perkasa 200 0 0 Aneka Kimia Raya 225 25 10,500 Aneka Tambang 1,825 150 40,822,000 Anwar Sierad 150 0 35,000 Apac Centertex Corp.

OPEC basket price rise

OPEC basket price rise LONDON (Reuters): The price of OPEC's basket of seven crudes rose slightly to US$11.87 on Thursday from $11.80 on Wednesday, the OPEC news agency said quoting the OPEC Secretariat. The basket comprises Algeria's Saharan Blend, Indonesia's Minas, Nigeria's Bonny Light, Saudi Arabia's Arabian Light, Dubai of the UAE, Venezuela's Tia Juana and Mexico's Isthmus.

Indonesia debt roadshow to start on Wednesday

Indonesia debt roadshow to start on Wednesday NEW YORK (Dow Jones): Indonesia will kick off on July 8 in New York a roadshow to market a plan to exchange between $8 billion and $10 billion in debt contracted by the country's financial institutions into new loans, a source familiar with the offer said Thursday. The exchange program is part of a broader agreement between the country and foreign creditor banks to tackle Indonesia's debt burden.

Govt to raise export taxes on CPO to between 50% and 60%

Govt to raise export taxes on CPO to between 50% and 60% JAKARTA (JP): The government will raise the export taxes on crude palm oil (CPO) and its by-products to between 50 percent and 60 percent from next week to prevent a further increase in cooking oil prices, a senior trade official said here yesterday.

Local markets continue to gain in strength

Local markets continue to gain in strength JAKARTA (JP): The Indonesian financial market yesterday sealed the week's gaining streak with the rupiah strengthening to 14,550 against the U.S. dollar and the stock market inching up 0.9 percent yesterday. Analysts attributed the week-long rally to improving sentiment, both at the local and regional levels, as foreign investors started selecting quality investments in the region.

Villagers forced to eat dried corn

Villagers forced to eat dried corn PURWOKERTO, Central Java: The unaffordable price of rice and other essential commodities here has forced hundreds of villagers in the Sumbang subdistrict of Banyumas regency to eat boiled ears of dried corn as a substitute for rice over the past month. Some residents of Limpak Luwus, Kotayasa and Sumbang villages in the regency's northern tip contacted by The Jakarta Post yesterday said that rice and cooking oil were now simply unaffordable.