Business and new nationalism

Besides the rate of the rupiah -- which, although strengthening, is still under attack by speculators -- two other major issues appear to have been discussed during Friday's meeting of the monetary board. First, the board appealed to the business community not to cause panic among the general population by raising prices. Second, the propitiousness of promoting exports while the value of the rupiah declined was underlined.

Whether one likes it or not, the sharp depreciation of the rupiah will have an influence on prices of both locally produced and imported goods. One might believe that higher prices bring only profits for businesspeople. However, for the sake of the continuity of their businesses, traders will have no choice but to raise their prices so they can restock.

It is because of this that, as the minister of industry and trade explained, an appeal is being made to the business community not to raise prices to levels that may cause panic. Experience has taught us that in circumstances such as the present, some businesspeople will always be tempted to try to rake in the biggest possible profits.

A willingness on the part of the business community to comply with this appeal can perhaps be regarded as an expression of the "new nationalism" which has of late -- after the sale in Singapore of Indofood shares -- become a subject of public discussion.

-- Suara Karya, Jakarta