Businesspeople demand political stability

Businesspeople demand political stability

JAKARTA (JP): Location, location, location.

Once this was the mantra chanted faithfully by a noted
business figure in the country, declaring his philosophy of the
most important thing in conducting his business.

Today, however, most every player in the economy -- from high-
profile tycoons to small retail owners, from portfolio investors
to street food vendors -- agree on the one thing they need to
maintain their businesses.

Political stability.

With charred ruins of the May riots left as ugly reminders for
Jakartans of the catastrophe, fresh outbreaks in the last two
weeks, although much anticipated, presented a horrible reality.

They showed that after all the promises of protection churned
out by the government, the city is still plainly vulnerable to
vandalism, looting and other destructive acts.

It instills little confidence in the country's private sector.

Anton J. Supit, the chairman of the Indonesian Footwear
Association, said: "People don't feel safe anymore."

Anton said businesspeople were taking a wait-and-see stance
before making any major business decisions until the general
election scheduled next May. Many have even left the country to
find a safe haven to protect their families and possessions.

"The government has been trying to appease the public. But
there is no guarantee there will be no unrest here."

In 32 years under Soeharto's rule, most businesspeople --
basking in the gains of high economic growth for years -- chose
to turn a blind eye to government irregularities and contented
themselves with earning money. Speaking out would have been too
risky for their privileges.

Nowadays, however, many, like Anton, would rather talk about
politics than a moribund business sector.

Anton said the nation's vulnerability to social upheaval was a
consequence of the illegitimacy of the current government under
President Habibie.

"Habibie's government is democratically unacceptable... which
had led to a number of unrest outbreaks," he said.

Habibie, then vice president, replaced Soeharto on May 21
after the latter resigned following massive unrest and public
pressure. The administration of Habibie, a protege of Soeharto,
is seen by many as an extension of the latter's New Order.

Such skepticism is shared by A. Safiun, the chairman of the
Indonesian Automotive Parts and Components Industries
Association.

"Frankly, I don't expect too much from the current government.
It lacks credibility."

Safiun expressed doubt about the government's seriousness in
ensuring security.

Political upheaval and social uprisings have inflicted a grave
impact on small entrepreneurs.

Herry, an electronics vendor at Palmerah market in West
Jakarta, said he lost over Rp 100 million (US$1,353) during the
orgy of looting and destruction in May.

Herry questions the "goodwill" of the military officials who
guard the market today.

"They're no use to us. If they have goodwill to help the
people, why didn't they guard the market during the unrest so our
shops didn't get looted and burned?"

He now sells items with lesser values which sell faster such
as fans, mini stereo sets and televisions. Even these are harder
to sell because of plummeting consumer spending power.

Tini Hadad, chairwoman of the Indonesian Consumers Foundation
(YLKI), criticized the military for dealing only with student
protests rather than guaranteeing security for daily business
activities.

Security is particularly important now that four major events
are approaching: Christmas, New Year, Idul Fitri and the Lunar
New Year, she said.

Without a guarantee of security, supplies of goods will be
scarce and prices will skyrocket, she said.

Tini said the government's seeming lack of credibility is a
time bomb ticking away and threatening to shatter the nation's
peace once again.

"It is a source of dissatisfaction that could lead to the
eruption of upheaval."

There are a small group of people who are still enjoying
profits despite the gloomy picture around them.

Irwandy Muslim, the secretary-general of the Indonesian
Textile Association, said the economic crisis had attracted many
foreign entrepreneurs to buy textiles and garments straight from
the producers and sellers in Indonesia.

Businesspeople from Africa and the Middle East flock here,
even during the height of the unrest, to buy textile products to
be sold back home at higher prices, Irwandy said.

Formerly, the businesspeople imported Indonesian-made textile
products from firms in Hong Kong, Singapore and Taiwan.

"Maybe they're already accustomed to instability, even wars,
in their countries," he said. (bnt/das/yan)