Tue, 13 Dec 2005

Foreigners and property

In your editorial you ask: "What risk is there to either the economy or national security if foreign nationals are allowed to own apartments/condominiums or luxury houses in Bali and other resort areas?"

First of all, if the idea is to attract foreign pensioners or mixed couples that want to live in Indonesia and buy property, there are still plenty of other obstacles to keep them away. Thus, the proposed changes would not be effective. Playing the devil's advocate, I would say that more foreigners living in luxury in Indonesia would create more jealousy, resentment and possibly riots or even terrorism, as long as there are so many Indonesians living in appalling conditions.

I think the President has hinted that unless this situation changes, other changes in property and immigration law will not happen. Indeed, it is usually the Indonesian policy to try to avoid tension, unrest and disruption of harmony.

The idea to ease the restrictions on foreign nationals owning property seems to be driven by people with interests in property development and sales. If there is enough collusion between these circles and the people in power, there is some chance that changes will be proposed. However, there will be other powers to halt it.

SYLVIA SUCIPTO, Yogyakarta