G-7 should consider Third World's plight

G-7 should consider Third World's plight

JAKARTA (JP): Indonesia, as the chair of the Non-Aligned
Movement, has officially sent letters to members of the Group of
Seven industrialized nations, asking them to take into account
the interests of developing nations in any move they may take
regarding the currency rates.

Finance Minister Mar'ie Muhammad said yesterday that the
messages, delivered to the finance ministers of the United
States, Japan and Britain, underlined Indonesia's concern over
the steep appreciation of the Japanese yen against the U.S.
dollar.

"We asked the industrialized countries to take into account
the interests of the developing nations in any measure they may
take regarding the yen-dollar realignment," Mar'ie told
journalists, following a meeting with President Soeharto.

Mar'ie was meeting with the President to report on the latest
G-7 finance ministers meeting, held in Washington yesterday, and
the result of the Asia Pacific Economic Cooperation forum's
finance ministers meeting in Bali last week.

Indonesia is one of the countries hardest hit by the sharp
appreciation of the yen against the dollar, since early last
March, because about 40 percent of its estimated US$90 billion
foreign debts is denominated in yen and quite a portion of its
export commodities is priced in the American dollar.

Nonetheless, Mar'ie reaffirmed that Indonesia's external
balance is in a comfortable position and its macroeconomic
condition is safe.

"But Indonesia, as the chair of the Non-Aligned Movement, sees
the impact of the yen-dollar volatility within a global context,
especially from the interests of the developing nations," Mar'ie
said.

The finance minister also reported to the President about the
planned annual meeting, on May 2, of the Manila-based Asian
Development Bank in Auckland, New Zealand. (hen)