Commission wants govt to improve economic team

Commission wants govt to improve economic team

Fitri Wulandari, The Jakarta Post, Jakarta

Legislators said on Tuesday the government should improve the
Cabinet's economic team by creating a solid and focused team
capable of lifting Indonesia out of economic stagnation.

Commission C at the People's Consultative Assembly (MPR) said
in a plenary session that a breakthrough was especially needed to
significantly reduce the country's domestic debts, which
currently total Rp 650 trillion.

"There have been a number of improvements in the country's
economy, but we need an economic team that dares to make
breakthroughs to bring Indonesia out of the crisis," said Bambang
Sudibyo, chairman of the draft team at Commission C's sub-
Commission C1 on finance and the economy.

Bambang, a member of the Interest Groups faction (FUG), said
the country's foreign debts were easier to solve after Paris Club
donor countries had agreed to reschedule the debts for another 20
years.

Domestic debt, on the other hand, has placed enormous pressure
on the government, which has to provide Indonesian Bank Liquidity
Funds (BLBI) and guarantee the banking recapitalization program,
said Bambang

Another important proposal was for the government to reform
the tax collection system by first improving law enforcement to
prevent corruption, collusion and nepotism.

"The government should also increase revenue from cigarette
duties because current cigarette prices are too low compared with
other countries," he added.

Another member of sub-commission C1, Paskah Suzetta, proposed
the government privatize state-owned enterprises and sell assets
belonging to the Indonesian Banking Restructuring Agency (BPPN).

"The government should also make a clear-cut strategy before
it decides to end its dependence on the International Monetary
Fund (IMF)," said Paskah.

During the plenary session, the Indonesian Democratic Party of
Struggle (PDI Perjuangan) also proposed that deliberations of a
special decree on economic recovery be carried out by Commission
C at the People's Consultative Assembly (MPR) instead of
Commission B.

Sukowaluyo Mintorahardjo, secretary of PDI Perjuangan faction
at Commission C, argued it was more relevant to treat the draft
on economic recovery as a recommendation as it related to the
President's ability to tackle the economic crisis.

"It will be more integrated with other discussions in the
Commission C," Sukowaluyo told reporters on Tuesday, as quoted by
Antara.

Commission C at the MPR's Annual Session is tasked with
drafting recommendations for the President and other high-level
state institutions in response to their progress reports
delivered at the Annual Session.