Australia still confident about Indonesia's future

Australia still confident about Indonesia's future

JAKARTA (JP): Australia remains confident about the future of
Indonesia's economy despite uncertainty over the latter's
leadership transition.

Australia's Ambassador to Indonesia, John McCarthy, said his
government was upbeat that Indonesians would eventually be able
to manage their own political evolution.

He said Indonesia's current internal political developments
had provoked discussion in many countries including Australia.

"There is no suggestion as yet of any influence in the conduct
of our governmental or business confidence in Indonesia,"
McCarthy said before addressing a dinner hosted by the Indonesia-
Australia Business Council.

"We continue to have considerable confidence on the economy of
this country... And we are optimistic about the way Indonesia
will evolve in the 21st century," he said.

Australia expects economic relations with Indonesia to
continue to blossom despite several differences, especially with
regards to East Timor.

McCarthy said two-way trade should continue to grow at the
current rate of between 25 percent and 30 percent a year because
there was still huge potential for the economic relationship to
develop.

Trade between the two is worth A$4.3 billion. Australian
exports are worth $2.8 billion and Indonesian exports are worth
$1.5 billion.

McCarthy said the relationship had some great elements, some
of which were very positive.

"In relation with East Timor, we have differences with you,"
he said.

"We would like the situation in East Timor to evolve
peacefully and beneficially to the inhabitants of East Timor,
that is a matter that Indonesia has to take with others.

"We will work and do what we can to sport you but it is very
much an Indonesian issue," he said.

But unlike most countries Australia recognizes East Timor as
part of Indonesia.

The council's chairman, Sabam Siagian, a former Indonesian
ambassador to Australia, shared McCarthy's view that political
developments in one country would have little affect on economic
relations.

Sabam announced yesterday the 24th Indonesia Australia
Business Conference and Exhibition, to be held in Bali from June
15 to June 17.

"The Indonesia-Australia Business Council is one of the
biggest and fastest growing business associations in
Indonesia ... To date, several significant contributions have
been achieved through multi-industry cooperation and
partnership," Sabam said.

With the theme of Indonesia-Australia: the Winning Team, the
conference will cover business and industrial topics, including
consumer products, health care, construction, agribusiness,
property, mining and energy, investment, funding and tourism.

Speakers will include McCarthy, PT Bakrie & Brothers president
Tanri Abeng, Center for Strategic and International Studies
executive director Mari Pangestu, PT Coca Cola Amatil Indonesia
president John Brady, Health Care Australia's Walter Klement, the
Indonesian Construction Association's Fatchur Rochman and TASA
International's Warren McGregor. (rid)