Bringing order to the communications sector

Bringing order to the communications sector

People are watching with interest how the financial problems
prevailing at two of our airlines, Sempati Air and Merpati
Nusantara Airlines (MNA), are being handled. People are closely
watching developments in the communications sector because of its
strategic position, both in our national development efforts and
in our international transactions.

Indonesia's domestic market is the fifth largest in the world
and the majority of consumers are relatively young, which means a
comparatively constant pattern of demand. In addition, Indonesia
is a vast country, with three different time zones. It is
therefore not surprising that some of our neighboring countries
are trying to make ours their economic hinterland.

It has to be admitted that our communications sector must bear
its share in our present current account deficit, which includes
an entry for services such as communication and travel. Our
weakness in the national shipping subsector is conspicuous. The
same is true for our air communications subsector. Certainly, it
would be sad to learn that our national airlines must become
merely an alternative means of transport and communication.

Unless all these weaknesses are surmounted, we will only reap
limited benefits from the presence of foreign investors. We need
motivation to lead in free competition. We are putting our hopes
in Sempati Air and MNA.

-- Bisnis Indonesia, Jakarta