Bulog puts nonbudgetary funds onto balance sheet
Bulog puts nonbudgetary funds onto balance sheet
JAKARTA (JP): The State Logistics Agency (Bulog) has shifted
its controversial Rp 383 billion (US$45 million) nonbudgetary
funds onto the agency's balance sheet, the agency's chairman
Rizal Ramli said here on Thursday.
Speaking at a hearing with House Commission III for
Agriculture and Plantations, Rizal said that all the nonbudgetary
funds had been put on the balance sheet to avoid further
misappropriations.
"To be administratively correct, all the revenues Bulog
receives, starting from June 2, have been recorded on the balance
sheet," Rizal told a hearing at the House.
He said that recording the controversial funds on the Bulog
balance sheet was necessary for the sake of greater transparency
and proper accountability.
The agency, which was established in early 1970s to stabilize
prices of basic commodities, has accumulated massive reserve
funds. However, most of the money was allegedly used to finance
businesses of former president Soeharto's children and close
friends. The controversy over the nonbudgetary funds, which are
not part of the state budget, has emerged again after President
Abdurrahman Wahid's masseur managed to get Rp 35 billion cash
from the agency.
Rizal said Bulog would need Rp 6 trillion in commercial loans
for year 2001 for the procurement of about two million tons of
rice to fill the supply shortage.
"Year 2001 is the first year of a five-year cyclical long dry
season, and we should be prepared to import more rice because
local rice production will be lower than normal," he said.
He said that the government should also anticipate and lower
the import duty on rice to induce higher inflow of imported rice
into the country during the year.
Rizal said the international loans, which are still available
for the Indonesian government to finance rice imports, included
the US$90 million credit line from the Islamic Development Bank
and about $200 million from the Malaysian government.
With the IDB, the loans would have a term of three years
including a grace period of six months. And the interest rates
would be between 1.15 percent and 1.65 percent above the London
Inter-bank Offered Rate (LIBOR) per annum, Rizal said.
The Malaysian government also offered a three-year loan, but
with a one year grace period. The level of the interest rate is
still under negotiation, he added. (udi)