Burhanuddin selected as new BI governor
The Jakarta Post, Jakarta
House of Representatives Commission IX on banking has selected Burhanuddin Abdullah as the new governor of Bank Indonesia to replace Sjahril Sabirin, following a "fit-and-proper test" of the three candidates that lasted until Monday midnight.
Burhanuddin, former coordinating minister for the economy under president Abdurrahman Wahid, defeated strong candidate Miranda S. Goeltom, currently deputy governor who was backed by the largest faction at the House -- the Indonesian Democratic Party of Struggle -- and low-key candidate Cyrillius Harinowo.
Cyrillius, who has served a senior position at the central bank, appeared to have had little chance because of a lack of political support, despite being highly respected as a professional.
Burhanuddin won 34 of the votes from the 52 Commission IX members attending late-night voting, while Miranda got 18 votes and Cyrillius zero.
"We hope the new governor will be able to contain inflation, maintain the stability of the rupiah and improve the central bank's performance so that Bank Indonesia will become the best central bank in Asia," said Max Muin, chairman of House Commission IX, which conducted the fit and proper tests.
Max said the decision on Burhanuddin would be brought to a plenary House session on Tuesday for endorsement. He played down any possibility that the plenary session would contest the selection of Burhanuddin, contending that "Commission IX has been tasked to select the new governor."
Burhanuddin won the support of the Golkar Party, the United Development Party -- respectively the second and third largest factions in the House -- and Muslim-based parties.
Burhanuddin, who has served in senior positions at the bank, will replace Sjahril Sabirin, whose tenure ends on May 17. Sjahril, who replaced Sudradjat Djiwandono, has held the post since 1998.
After the completion of the selection of the new governor, Max said the commission would select a new deputy governor to replace Miranda, whose term is due to expire.
The candidates for the new deputy governor all come from Bank Indonesia, namely Siti C. Fadjrijah, Hartadi Sarwono and Bambang Sindumurti. The selection process will start on May 19.