Boediono may replace Aburizal

Boediono may replace Aburizal

Apriadi Gunawan, The Jakarta Post/Medan

Respected former finance minister Boediono is expected to be
included in the new Cabinet that will be announced soon,
President Susilo Bambang Yudhoyono said on Friday.

The rupiah and stocks strengthened on the news as financial
markets were hopeful Boediono, seen by some as the architect of
the country's brief return to macroeconomic stability after the
late 1990s financial crisis, could once again turn around an
economy undermined by rising inflation, a weak currency and
nervous investors.

Susilo said he spoke with Boediono, whose fiscal prudence was
widely respected when he served as finance minister under
Megawati Soekarnoputri, on Thursday at Halim Perdakusumah airport
in East Jakarta before flying to North Sumatra.

"I have discussed with Boediono the possibility of him joining
the economic team. Frankly speaking, Pak Boediono told me he
wanted to relax, and wanted to help the nation anyway he could
without having to join the Cabinet. But I told him ... if the
state needs you and the people want you, you must join the
administration. It is a mandate," Susilo said in North Sumatra.

Susilo said he would announce his new Cabinet in two or three
days, but did not say what Boediono's position would be in the
Cabinet.

Susilo offered Boediono a Cabinet position after winning the
country's first direct presidential election in 2004. However,
Boediono declined the offer, according to some because tycoon
Aburizal Bakrie was also going to be part of the economic team.

There was also some speculation Boediono was reluctant to join
the Cabinet because he did not want to offend Megawati, who was
defeated by Susilo in the election.

But a source close to Susilo said on Friday Megawati recently
proposed Boediono's name to Susilo, who for the past several
weeks has been struggling over a Cabinet reshuffle amid reports
of strong pressure from political parties that support his
government to offer positions to their candidates.

Another source said Boediono, who is not tied to any political
party, would be appointed coordinating minister for the economy
and chairman of the National Development Planning Agency
(Bappenas). Aburizal Bakrie, the current economics minister and a
senior member of Golkar Party, would be moved to coordinating
minister for people's welfare, replacing Alwi Shihab, who would
be ousted from the Cabinet.

The same source said Sri Mulyani Indrawati, current Bappenas
chairwoman, would be appointed finance minister, replacing Yusuf
Anwar, Mari Pangestu would retain her post as trade minister and
businessman Rachmat Gobel would replace Andung Nitimihardja as
minister of industry.

"After evaluating the performance of my Cabinet... I concluded
that the Cabinet, particularly the economic team, needs
restructuring," Susilo said.

"We need to strengthen the Cabinet by adding strong ministers
who can sustain macroeconomic policies and management

"We need a team that can move the real (economy) and
investment sector," the President said.

Boediono declined to say whether he was prepared to join
Susilo's Cabinet.

"Later, when the time has arrived and everything is certain,
we will meet in Lapangan Banteng," he was quoted as saying by
news portal detik.com, referring to the area where the Office of
the Coordinating Minister for the Economy and the Ministry of
Finance are located.

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