Chase executive leads investors on Jakarta visit
Chase executive leads investors on Jakarta visit
JAKARTA (JP): New York-based Chase Manhattan Bank is leading a
group of institutional investors from the United States, Europe
and Asia to look for business opportunities in Indonesia.
Joyce Chang, the bank's managing director for international
fixed income, said here on Monday the international investors
came to Indonesia to get a better understanding of the domestic
political situation.
She said the delegation also came here to get firsthand
information about the government's plan to sell assets
surrendered by the owners of ailing banks and corporate debtors
as repayment of their debts.
The international investors also wanted to learn more about
the government's privatization program for state companies during
their two-day fact-finding visit, she said.
"We are meeting with a number of corporate executives,
independent analysts, IBRA (the Indonesian Bank Restructuring
Agency) and central bank officials," Chang said, adding that it
would be a very diverse mixture of meetings with various parties.
The investor group, which arrived here on Monday morning, will
end their visit on Tuesday.
After Jakarta they will travel to Kuala Lumpur, Malaysia, and
Manila, the Philippines, to complete their one-week trip to Asia
Pacific.
She added that most international investors had responded
favorably to the state budget draft recently unveiled by the
government.
"Now we want to get more information on how it would be
implemented," she added.
The investors also want to talk to foreign creditors here in
Jakarta, while discussing the country's political risks, Chang
said.
Half of the institutional investors in the group have at some
point been involved in investing in Indonesia, while the others
are making their first visit to Jakarta, Chang said.
The 11 financial institutions -- consisting of insurance
companies, hedge funds and banks -- represented by the delegation
manage a total of US$1 trillion worth of assets in the global
debt and equity markets, Chang said.
She added that only a small percentage of those assets were
located in Asian markets.
"However, the allocation in the Asian market is increasing and
investors that invested in the Indonesian market did very well
last year," she said.
So many investors are interested in Indonesia now because they
feel they missed a good opportunity last year, she added.
Chase Manhattan Bank has been in Indonesia for over 30 years
with a full bank operating license.
It operates primarily as an adviser on restructuring, and
merger and acquisitions, as well as its traditional banking
activities. (udi)