Business and new nationalism

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