Indonesian Political, Business & Finance News

Archive: 14 August 1998

53 articles found

U.S. fund managers find bargains arising

U.S. fund managers find bargains arising SAN FRANCISCO (Dow Jones): In early July, U.S. real-estate company Colony Capital offered to buy a just-finished upscale residential development in the Philippines from its near-bankrupt owners. The offer was for about US$30 million -- but the owners rejected it. Three weeks later, however, their South Korean bankers told them to sell or be forced into receivership.

KL's policy inconsistent

KL's policy inconsistent KUALA LUMPUR (Dow Jones): International ratings agency Fitch IBCA yesterday assigned a first-time long-term foreign currency rating of triple-B-minus to Malaysia, citing the country's relatively low external debt levels, but also highlighting an "inconsistent policy stance." Fitch IBCA said its rating will apply to all senior, unsecured sovereign and sovereign-guaranteed foreign currency debt issues, and will set a ceiling for banks and corporates in Malaysia.

Cafe party drives nightlife in capital city

Cafe party drives nightlife in capital city By Izabel Deuff JAKARTA (JP): Black might symbolize death or sadness, but being in black, one could also be cheerful, as reflected in Models in Black, a theme of an evening at Cafe Automobili Lamborghini at Taman Ria Senayan Complex, Central Jakarta. On July 31, from 9:30 p.m. to 2 a.m., Radio Prambors staged a varied party which included live music, disco and a fashion show, the dress code of which was black.

Anwar Sierad expects another big forex loss

Anwar Sierad expects another big forex loss JAKARTA (JP): PT Anwar Sierad expects another big foreign exchange loss this year since foreign bankers have yet to agree to reschedule its foreign debts, the company's top executive said here yesterday. Anwar Sierad president Budiardjo Tek said he had asked the creditors to roll over the company's US$120 million debt but that no decision had been made.

Stock Exchange

Stock Exchange Stock prices on the Jakarta Stock Exchange (in rupiah) on Aug. 13, 1998: Shares Close Change Trading Volume -------------------------------------------------------------- Ades Alfindo 325 0 1,000 AHAP Insurance 400 0 0 Alter Abadi 350 -25 274,500 Alumindo Light Metal 350 50 1,435,000 Alumindo Perkasa 225 0 0 Aneka Kimia Raya 200 0 1,500 Aneka Tambang 2,100 -50 12,098,000 Anwar Sierad 75 -25 5,000 Apac Centertex Corp.

Indonesia's Utut suffers fastest defeat at MK Cafe Cup

Indonesia's Utut suffers fastest defeat at MK Cafe Cup JAKARTA (JP): Home favorite and top seed Michal Krasenkow buried Indonesian Utut Adianto's dreams of winning the MK Cafe Cup chess tournament in Koszalin, Poland, Wednesday. Facing a must-win situation, Utut, who played black, was outwitted in the penultimate-round match that lasted 27 moves and took two hours and 45 minutes.

Conversion Rates

Conversion Rates JAKARTA (JP): Bank Ekspor Impor Indonesia's (Bank Exim) indicative conversion rates on August 13, 1998: Buying Selling Rp Rp U.S.

Habibie to open Soerjadi-led PDI congress

Habibie to open Soerjadi-led PDI congress JAKARTA (JP): President B.J. Habibie has kept to the rigid political line of his predecessor on the splintered Indonesian Democratic Party (PDI) by agreeing yesterday to open the Soerjadi camp's congress later this month in Palu, Central Sulawesi. "God willing, if he has time he will attend the congress in Palu," PDI Secretary-General Buttu R.

16 people named as 'agitators'

16 people named as 'agitators' JAKARTA (JP): The city police named yesterday 16 people as suspected agitators of the mid-May riots. City Police spokesman Lt. Col. E. Aritonang told journalists the suspects were among the 36 people who had been wanted by the police for their alleged role in instigating mobs to destroy and burn and loot properties during the May 13 to May 15 unrest in the capital.

RI mine shuts, copper rises

RI mine shuts, copper rises LONDON (Bloomberg): Copper yesterday rose from its lowest price in a month on expectations that a stronger yen would spur buying in Japan, while a strike at the world's second-largest copper mine cut output. Japan, the world's second-largest copper consumer behind the U.S., buys more metal when the yen gains because the dollar- priced metal becomes cheaper.

Military seeks help to weed out rumormongers

Military seeks help to weed out rumormongers JAKARTA (JP): The city military is soliciting help from foreign groups in its effort to identify people spreading rumors on the Internet of renewed riots in the capital. "To detect (those responsible for) rumors on the Internet, we've asked the assistance of foreign parties," Jakarta Military Commander Maj. Gen.

Kuntowijoyo's story

Kuntowijoyo's story I am a reader of The Jakarta Post. I found something odd in the short story on Aug. 9, 1998. In the footnote you said "one of Yusrizal KW's works, Pistol Perdamaian..." I would like to inform you that Pistol Perdamaian was not written by him but by Kuntowijoyo. I also found the same profile at the end of a short story by Yusrizal published on July 19. RAMADHIN SYARIF Balikpapan, East Kalimantan Note: Thank you for your correction.

Main roads to be closed on Aug. 17

Main roads to be closed on Aug. 17 JAKARTA (JP): A number of streets around National Monument Square will be temporarily closed on Monday during flag-hoisting ceremonies on commemoration of the nation's 53rd Independence Day, an officer said yesterday. Among the streets to be closed for the morning and afternoon flag-hoisting ceremonies at Merdeka Palace in Central Jakarta are Jl. Medan Merdeka Barat, Jl. Medan Merdeka Utara, Jl. Veteran, Jl. Veteran 1, Jl. Veteran 2 and Jl. Veteran 3.

Where to go in Jakarta:

Where to go in Jakarta: Exhibitions * Photo Exhibition: A Part of Indonesian Historical Journey, at Galeri TC, Jl. Kemang Raya No. 24A, South Jakarta (Phone: 7194278), Sunday, at 10:30 a.m. to 12 p.m., Monday to Thursday, 11:30 a.m. to 11:30 p.m., Friday to Saturday 11:30 a.m. to 1:30 a.m., until Aug. 24. * Painting Exhibition: Sisi Lain, Orang Indonesia dan Negerinya, by, Galeri Santi, Jl. Benda No. 4, Cilandak Timur, Kemang, South Jakarta (Phone: 7806079), 10 a.m. to 6 p.m., until Aug. 30.

East Timor

East Timor In this era of openness, your editorial Aug. 8, 198 falls short of Explaining East Timor. When, in 1976, "tribal leaders representing a majority of the East Timorese" signed over control of East Timor to Indonesia, the territory was not "embroiled in a bloody civil war". The civil war, though indeed bloody, broke out in August 1975 and lasted less than a month. East Timor was, however, at the time of the signing, embroiled in a bloody guerrilla war against Indonesia.

Rethinking ABRI's role

Rethinking ABRI's role The time, it seems, has finally come for Indonesians to deal in earnest with a subject that has been one of the nation's most inviolate taboos for many decades: the so-called dwifungsi, or dual function, of the Armed Forces (ABRI). For those unfamiliar with the nation's contemporary history, a brief explanation is in order.

Equestrian team to compete at Asiad

Equestrian team to compete at Asiad JAKARTA (JP): The National Sports Council (KONI) is at the center of yet more controversy on its selection of athletes for the 13th Asian Games after it gave the green light to equestrians to compete in Bangkok. Chairman of the council Wismoyo Arismunadar justified yesterday the decision for both practical grounds and medal- winning prospects. "They will be in Thailand until before the Asiad, so why don't we let them stay longer for the Games?

Army probe misses deadline

Army probe misses deadline JAKARTA (JP): The Armed Forces leadership failed yesterday to complete its investigation of three senior officers' alleged roles in the abductions of dozens of political activists. Army Chief of Staff Gen. Subagyo Hadisiswoyo, who heads the Officers Honor Council, told reporters that the investigation, originally expected to end yesterday, would continue on Tuesday after the Independence Day celebrations this weekend.

Delay freedom of expression regulation: DPA

Delay freedom of expression regulation: DPA JAKARTA (JP): The Supreme Advisory Council (DPA) yesterday recommended the government postpone its controversial regulation on the freedom of expression until it was endorsed by the House of Representatives. "It should not come into effect until it is endorsed by the House," DPA chairman A.A. Baramuli was quoted as saying by Antara after meeting Minister of Justice Muladi, National Police Chief Lt. Gen.

Belgian banks told to boost RI provisions

Belgian banks told to boost RI provisions BRUSSELS (Dow Jones): Belgium's Banking and Finance Commission asked Belgian banks in June to add around BEF6 billion to provisions for potential losses in Indonesia, Belgian financial newspaper De Financieel Economische Tijd reported yesterday. The additional provisions would mean that the banks would now have to make provisions for 20 percent of their outstanding loans in Indonesia, the newspaper said.

Five officials to be tried for violating banking laws

Five officials to be tried for violating banking laws JAKARTA (JP): Five officials from two private banks closed down by the government last year are to be brought to trial for allegedly violating banking laws, an officer said yesterday. Col.

Violent attack

Violent attack The attack launched on a playgroup on Jl. Hasanudin, Bandung, West Java, at 10 a.m. on Aug. 3, 1998 reminds me of Fukuyama, an American philosopher, who wrote an article titled Barbarians at the gate. In Pikiran Rakyat daily, this attack was reported under the title Parents engaged in dispute, children neglected, which euphemistically suggests tolerance and forgiveness.

Rupiah continues to rally as stocks drop off again

Rupiah continues to rally as stocks drop off again JAKARTA (JP): The rupiah continued to rally yesterday while the stock market slumped again after Thursday's increase amid regional bearishness. Currency dealers said the rupiah strengthened to 12,900 against the U.S. dollar in moderate trading yesterday on the back of persistent dollar selling by state banks.

Sultan waiting for govt's decree

Sultan waiting for govt's decree YOGYAKARTA: Popular Sri Sultan Hamengkubuwono X said here yesterday he was waiting for word from President B.J. Habibie on the appointment of the special province's governor, in which he is a strong candidate. "It's up to the government. It has the right to decide, hasn't it?" he told journalists on the sidelines of a seminar here.

JETRO predicts E. Asian trade to further stagnate

JETRO predicts E. Asian trade to further stagnate TOKYO (DPA): With the currency turmoil hanging over East Asia, trade in the region "is expected to further stagnate in 1998", the Japan External Trade Organization (JETRO) reported in its annual White Paper on International Trade. The growth of exports in East Asia was held below double digits for the second year in a row to 6.9 percent in 1997.

HK, RI as Asia saviours

HK, RI as Asia saviours SYDNEY (Reuters): Construction group Leighton Holdings Ltd said yesterday it believed it had weathered the worst of the Asia economic storm and that Hong Kong government and Indonesia mining projects would help future growth. "We believe we've got the situation covered," Leighton chief executive Wal King told reporters. "We got a few of our tail feathers burned but we have come through a situation that had enormous potential to do damage," he said.

Security beefed up in several cities prior to weekend

Security beefed up in several cities prior to weekend SURABAYA (JP): Despite officially dismissing rumors of unrest for the coming Aug. 17 Independence Day celebrations, security has been beefed up in some cities as military commanders appealed to community leaders to insure a calm long weekend. Brawijaya Regional Military Commander Maj. Gen. Djoko Subroto, who oversees security in East Java, met with 300 Moslem ulemas here yesterday to ask for their help in maintaining calm and order.

Shihab seeks genuine harmony between different faiths

Shihab seeks genuine harmony between different faiths JAKARTA (JP): Inflamed by the country's frequent riots, Alwi Shihab, visiting professor at Harvard University's Divinity School, has committed himself to helping establish genuine harmony in Indonesia, especially between Moslems and other faiths.

EU urges RI to free jailed E. Timorese leader

EU urges RI to free jailed E. Timorese leader BRUSSELS (Agencies): The European Union on Wednesday added its voice to calls for Indonesia to free jailed East Timorese guerrilla leader Jose Alexandre "Xanana" Gusmao and urged the country to further reduce its military presence in the province. Reuters reported that the Austrian EU presidency issued a statement welcoming last week's accord between Portugal and Indonesia to pursue talks on a proposal for autonomy for East Timor.

Malaysia angered by terrorist alert

Malaysia angered by terrorist alert KUALA LUMPUR (DPA): Malaysia voiced concern yesterday that Washington's recent alert of possible terrorist attacks against U.S. interests and its embassy in Kuala Lumpur will scare away much needed foreign investment and tourists. Foreign Minister Abdullah Ahmad Badawi said Kuala Lumpur was "unhappy" with the U.S. State Department for listing Malaysia among several countries where there was a threat of terrorist attacks against U.S. interests.

Massive flooding may affect 2m people

Massive flooding may affect 2m people JAKARTA (JP): Massive flooding predicted to hit the city during the upcoming rainy season will likely affect about two million people but there remains a shortage of equipment to assist them, data at the City Social Services Agency revealed yesterday. The estimate is more than double the number of victims in 1996 when Jakarta was hit by the most widespread flooding in its history. The city's population is about 10 million.

Petrochem plant in Sulawesi

Petrochem plant in Sulawesi JAKARTA (JP): PT Makassar Petrosel Global has received approval from the Investment Coordinating Board (BKPM) to build an aromatic and olefin plant in Barru regency, South Sulawesi, a company executive said here yesterday. Fadel Muhammad, also a senior executive of the Bukaka Group, said that Makassar Petrosel would invest Rp 9.6 trillion (US$738 million) in the petrochemical project. He said an Australian company had agreed to buy an 80 percent stake in the company.

Bulog to quit wheat business in October

Bulog to quit wheat business in October JAKARTA (JP): The State Logistics Agency (Bulog) will stop importing wheat and wheat flour in October after the government ends subsidies to the commodities, the agency's chairman said. Beddu Amang said that thereafter the private sector alone would import wheat while the agency concentrated on importing rice and sugar.

Over 300 Bouraq employees protest dismissal plan

Over 300 Bouraq employees protest dismissal plan JAKARTA (JP): More than 300 employees of privately run Bouraq Indonesia Airlines staged a demonstration at the firm's head office on Jl. Angkasa, Central Jakarta, yesterday, to protest the management's plan to dismiss them amid the economic crisis. The employees, consisting of pilots, flight attendants and technicians, started the demonstration at 11 a.m. by sticking posters that mocked and criticized the firm's executives on windows. Capt.

Semen Gresik sale to continue as planned

Semen Gresik sale to continue as planned JAKARTA (JP): The bidding process for state-owned cement maker PT Semen Gresik will continue as scheduled although its subsidiary PT Semen Padang may have to be excluded from the sale in the wake of last week's protest by West Sumatran community leaders, State Minister of the Empowerment of State Enterprises Tanri Abeng said yesterday.

Indonesia reenters sugar market

Indonesia reenters sugar market JAKARTA (JP): The State Logistics Agency (Bulog) said yesterday that it bought 106,000 metric tons of white sugar, 175,000 tons of high polarization raw sugar and 235,000 tons of raw sugar in its second tender Wednesday. Bulog spokesman Masjkur Sulaiman said that the shipments to Indonesia are expected between August and October. He said commodity trading houses Kerry Group PLc and ED&F Man, won the tender to sell white sugar at between $265.88 and $269.45 a ton.

Bank Austria sets aside $336m

Bank Austria sets aside $336m VIENNA (Bloomberg): Bank Austria AG, the country's largest bank, said yesterday it set aside 4.2 billion schillings (US$336 million) as of June 30 to cover possible bad loans in Russia and Indonesia. The statement came as emerging market stocks and bonds tumbled as concern increased that Russia will have to devalue the ruble and as currencies weakened in Asia, where economic recessions are deepening.

RI activists not to be prosecuted, envoy says

RI activists not to be prosecuted, envoy says JAKARTA (JP): The three Indonesians currently detained by Myanmar for allegedly distributing antigovernment leaflets will not be prosecuted, Indonesia's Ambassador in Yangon Poerwanto Lenggono said yesterday. "I guarantee they will not be charged," he told The Jakarta Post by phone from Myanmar's capital. However, Poerwanto said it was still unknown when the activists -- R. Fadjri, Sulaiman Haikal and Christian Evert -- would be released.

Subagyo, Sjafrie become MPR members

Subagyo, Sjafrie become MPR members JAKARTA (JP): House Speaker Harmoko swore in yesterday 38 new members of the House of Representatives/People's Consultative Assembly (DPR/MPR), including Army Chief of Staff Gen. Subagyo Hadisiswoyo and former Jakarta military chief Sjafrie Sjamsoeddin, as part of the preparations for the special MPR session in November.

85 new telecom kiosks opened

85 new telecom kiosks opened JAKARTA (JP): The Bekasi branch of state owned PT Telkom has signed agreements to open 85 new telecommunications kiosks. PT Telkom's manager for the area, Mulyanto, said the agreements meant there would shortly be 391 telecommunications kiosks in the Bekasi area. "It shows that we are still making a profit even though we are facing an economic crisis," Mulyanto said after the signing ceremony on Wednesday.

Garuda to return five more leased jets to cut costs

Garuda to return five more leased jets to cut costs JAKARTA (JP): National flag carrier Garuda Indonesia has received a commitment from giant aircraft maker Boeing which allows the financially troubled airline to return five leased airplanes, a minister said yesterday State Minister of the Empowerment of State Enterprises Tanri Abeng said the deal would reduce Garuda's Boeing armada to 12 from 17 aircraft, all leased under a long-term contract.

Feudalism in our economic structure

Feudalism in our economic structure Is it possible to achieve economic independence in view of our repetitive failures to achieve successful governmental economic policies since our independence on Aug. 17, 1945? Why have we not been able to achieve economic independence? And why do we always rely on foreign loans to run the government and to support the economic life of the people? For sure, we have inherited many bad policies, laws, economic structures and politics from Dutch colonization.

The problem with Habibie

The problem with Habibie We have just entered a new era. The government is in dire financial straits and has just been forced to default on sovereign debt repayments. This inability to repay our debts is an ominous sign that current hardships are set to become even worse in the near future. Like a ship in trouble, we are on the verge of going down. For many years our people have been lulled with sweet-sounding talk and have been unaware of the consequences of having a state such as ours.

The myth of Chinese domination

The myth of Chinese domination By George J. Aditjondro NEWCASTLE, New South Wales, Australia (JP): "The Chinese constitute only 3.5 percent of the population but control 70 percent of Indonesia's economy." This myth has been repeated and repeated so often by the world's press, that everybody -- including those sympathetic to the plight of Chinese-Indonesians -- seem to believe it.

Lessons in the past for a new constitution

Lessons in the past for a new constitution By Lambert Giebels This is the first of two articles on the inception of the Indonesian Constitution. BREDA, The Netherlands (JP): Revision of the country's Constitution, one of the demands of university students demonstrating against Soeharto's three-decade presidency earlier this year, will inevitably resuscitate issues which played a role in its inception in 1945. The 1945 Constitution was drafted in haste.

Tourist sector targets backpackers

Tourist sector targets backpackers JAKARTA (JP): Indonesia's declining popularity as a tourist destination has compelled the country to refashion its service towards catering to foreign backpackers, Minister of Tourism, Arts and Culture Marzuki Usman said yesterday. Marzuki said that the government would develop small and medium scale tourist enterprises in an attempt to attract low budget foreign tourists following failed attempts to restore the battered upper end of the market.

TV today

TV today TVRI 2:00 p.m. News: Berita 14 2:30 Music 2:35 Cartoon: Warner Kartun 3:05 Music Lessons: Bermain Musik 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 Documentary: Rona Nusantara 6:15 Sports News 6:30 TVRI News (in English) 7:00 Evening News 7:35 Culture Program: Kronik Budaya 8:00 News: Lintasan Berita 8:05 Culture Program: Kronik Budaya (contd.) 8:30 Talk Show: Dialog...

Villagers go on rampage

Villagers go on rampage CILACAP, Central Java: Bantarsari villagers in Kawungantan subdistrict here destroyed yesterday their village chief's house and a nearby village hall after failing to meet their leader to protest his alleged corruption. The incident, which saw no casualties or injuries, broke out after village head Edwin Subadi, 48, refused to meet about 2,000 protesting villagers, claiming he was ill.

SE Asian currencies down, volatility bypasses forex

SE Asian currencies down, volatility bypasses forex SINGAPORE (Dow Jones): Most Southeast Asian currencies finished Asian trading yesterday down against the U.S. dollar, despite being hauled up off their intraday lows by a late surge in the yen. With market attention focused on unfolding events in Japan, China and Russia, the rollercoaster volatility, which rocked major currencies and hammered Asian stock markets, for the most part bypassed regional currencies.

RI macroeconomic coordination 'need improvement'

RI macroeconomic coordination 'need improvement' The Supreme Advisory Council has recently provided a document explaining the government's economic strategy to a group of 15 economists who criticized the administration for having a populist policy last week. The group's spokeswoman, Sri Mulyani Indrawati, discusses loopholes in the government's concept. Question: What do you think about the government's economic concept?

Acehnese seek justice over atrocities

Acehnese seek justice over atrocities JAKARTA (JP): Acehnese public figures joined forces yesterday to pressure the government to uncover atrocities the Armed Forces (ABRI) allegedly committed since 1989 against suspected separatist rebels. The Solidarity Committee for the Respect of Human Rights in Aceh was created with the aim of cooperating with other human rights groups independently investigating the atrocities.

Changes to be made in Soeharto's security

Changes to be made in Soeharto's security JAKARTA (JP): The special presidential security detachment guarding Soeharto will be disbanded Monday, with protection for the former president to be assigned to a team from the Jakarta Military Command. The 540-strong force from Group A of the Presidential Security Guard (PASPAMPRES) will be dissolved and the soldiers returned to their original units. Presidential Security Guard Commander Maj. Gen. E.

Local group seeks UN help to probe May riots

Local group seeks UN help to probe May riots JAKARTA (JP): Members of the Volunteers of Humanity have said they received a positive response at a hearing with a United Nations Sub-Commission in Geneva, Switzerland, on a plea to send a team of international investigators to probe the causes of the May riots.