Indonesian Political, Business & Finance News

Amien Rais backs moves to end monopolies

Amien Rais backs moves to end monopolies

YOGYAKARTA (JP): Muhammadiyah, one of the most influential Moslem organizations, yesterday said it supports current moves to break up the various economic monopolies in Indonesia.

Muhammadiyah chairman Amien Rais said in a seminar that his organization feels dutybound to establish social justice in the country as required by Islamic teachings.

Amien said that the economy is now characterized by "monopolies, monopsonies and oligopolies" whereby the most important branches of the economy in Indonesia are controlled by a handful of people.

"If young people everywhere now are striving to bring about anti-monopoly legislation, they have the support of Islam," he said in a seminar reviewing religious relations and social justice organized by the Yogyakarta Muhammadiyah University.

Proposals for an anti-trust legislation have been discussed at various seminars and at the House of Representatives, but no bill has been presented so far.

The fact that the 10 largest conglomerates in Indonesia control assets amounting to a third of the country's gross domestic product reflects that the economy is "unhealthy" and must be corrected, said Amien, who is also a staff lecturer at the Gadjah Mada University in Yogyakarta.

"The Moslem community must adhere strongly to Islamic teachings, including social teachings," he said. "The Islamic social teachings are in need of new formulations."

Muhammadiyah, he added, along with other forces in the country, will strive to eliminate all forms of social injustice.

The two-day seminar which opened yesterday also heard the views of Yusril Ihza of the University of Indonesia, Mochtar Pabottingi, Mohammad Sobari and Moeslim Abdurrahman of the Indonesian Institute of Sciences, and Noeng Mujahir of the Ahmad Dahlan University.

Amien acknowledged that undoing the business monopolies would require hard work and patience.

"Conglomeration is a phenomenon that started 20 years ago. It is now firmly rooted and is as solid as steel. Dealing with this phenomenon will require relentless efforts."

He said the political and economic elites are unlikely to give in to the demands readily and will do all they can to maintain the status quo.

Yusril Ihza in his presentation said Islamic teachings are essentially egalitarian and support the concept of people's sovereignty over the state.

Islam, Yusril said, rejects feudalism, as well as the feudalistic traits that have been exhibited by some of those currently in power.

He said that what is really required in the fight to establish people's sovereignty in Indonesia is leadership.

Moslem mass organizations could lead the way and set the ball rolling, he said.

He said that the most effective way to establish people's sovereignty is by reforming legislation and regulations through the People's Consultative Assembly, the highest state organ.

"It is clear that we need political reforms," he said. (har/emb)

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