Ambassador to drum up U.S. investment in RI

JAKARTA (JP): United States Ambassador to Indonesia Robert L. Barry said here yesterday that he will invite small and medium sized companies in the U.S. to set up investment projects in Indonesia because of its favorable investment climate.

Barry told reporters that he, together with American ambassadors to the other ASEAN countries, will begin a 17-day American tour on June 6 to promote investment in Southeast Asia.

ASEAN (the Association of Southeast Asian Nations) also groups Brunei, Malaysia, the Philippines, Singapore and Thailand, besides Indonesia.

Barry said the ambassadors plan to visit six cities -- Los Angeles, Seattle, Denver, St. Louis, New York and Washington D.C. -- during their third such tour.

However, Barry suggested that the Indonesian government introduce more deregulatory measures to attract American investment.

Many businessmen have canceled plans to invest in Indonesia because requirements on divestment -- gradual reduction of equity participation in projects -- and red tape have discouraged them from doing business here, he said.

"The more deregulation takes place the more attractive Indonesia will become," said the ambassador.

He said the previous two tours indicated that many American businessmen are interested in doing business in Indonesia due to its political stability.

Meanwhile Ted Villinski, counselor for foreign commercial service at the U.S. embassy, said Indonesia will have to compete with Vietnam and China in attracting U.S. investment because American businessmen are more familiar with the latter two countries. (yns)