Thu, 12 Feb 1998

Departure tax burdensome

We are foreign investors who have had to stay in Jakarta to monitor our new investment. I believe that our business here is genuine and within Indonesian government guidelines.

There are plenty of capable people in Indonesia who will eventually be able to take charge of the business, but time is needed to transfer the necessary skills. Getting local people to take charge of the business depends on two factors. The first is the ability of local people to do the job. The second is the trust I have in them. That is not to say that I think Indonesian people are untrustworthy, but the value of teamwork is essential and takes time to develop. That is why I have to stay here and return monthly to my head office to meet with my companies management team.

Doing business properly is not an easy way to make money. My company pays tax and sometimes, has also to make some less official payments. Doing business is full of risks.

The increase in the departure tax to Rp 1 million for a foreign investor who holds a KIMs visa and who is a frequent traveler is quite burdensome.

ANDREA NG

Bekasi, West Java