Anwar pledges to boost BI's independence

JAKARTA (JP): Anwar Nasution, who was selected by the House of Representatives on Monday as senior deputy governor of the central bank, has pledged to focus on helping the governor make the institution fully independent in carrying out its duties.

Anwar said on Tuesday that Bank Indonesia (BI) should be cleaned of corruption, collusion and nepotism in the bid to establish integrity and credibility.

"But, please, don't ask me too many questions now. Let us see after I start working at BI." He added that it should be remembered he ranked as the second highest official at the bank.

Anwar revealed he would resign forthwith from the supervisory boards of commissioners of state-owned cementmaker PT Semen Gresik and port operator PT Pelindo II.

He also will resign from a number of positions in the business sector.

"But I will keep the ones that are noncommercial as it is allowed by law," he said, adding that his new position would slash his income to a third of its present total.

Anwar said the House on Tuesday morning approved him remaining dean of the School of Economics at the University of Indonesia.

"There is no law banning a senior official of BI from holding noncommercial positions at other institutions simultaneously."

Anwar, the most vocal critic of the central bank since the early 1980s, was selected for the newly created post of senior deputy governor from a shortlist of three candidates proposed by President B.J. Habibie on June 4.

The other nominees were the president commissioner of state Bank Mandiri, Binhadi, and the deputy for fiscal and monetary policy at the National Development Planning Board (Bappenas), Sukarno Wirokartono.

Legislators also approved on Monday the reappointment of six central bank deputy governors, who previously served as directors.

Subarjo Joyosumarto and Achjar Iljas were both appointed deputy governors for three-year terms, Achwan and Dono Iskandar for two-year terms, and Iwan Prawiranata and Aulia Pohan for one- year terms.

Habibie in May reappointed Bank Indonesia Governor Sjahril Sabirin to lead the central bank and Miranda S. Goeltom as deputy governor, both for four-year terms, under the new central bank law.

The law is designed to free the central bank of political intervention and make it independent in deciding monetary policy.

The law bars the president from dismissing the governor or members of the board of governors.(udi)