Indonesian Political, Business & Finance News

Government pledges to support cooperatives

| Source: JP

Government pledges to support cooperatives

JAKARTA (JP): President Abdurrahman Wahid reiterated on
Wednesday his government will uphold Article 33 of the 1945
Constitution because it ensures people's rights to the state
riches.

Speaking in a ceremony to mark the country's 53rd Cooperatives
Day at the State Palace, the President said he would fight any
plan to amend the ruling.

"I hope that Article 33 in its current form will not be
replaced, because the government is determined to promote
cooperatives," Abdurrahman said.

The article stipulates the economy shall be organized as a
common endeavor based upon the principle of the family system.
Meanwhile branches of production which are important for the
state and which affect the life of most people shall be
controlled by the state.

"Land and water and natural riches contained therein shall be
controlled by the state and shall be made use of for the people,"
the article says.

The President also disclosed the government's strategy to
encourage private sectors, including foreign investors, to
provide financial credits for private development. The government
will concentrate on providing loans for cooperatives and small
scale businesses.

"The credits derived from the government will be provided for
small and medium scale businesses, which means for cooperatives,"
Abdurrahman remarked.

During the ceremony, the President was accompanied by Vice
President Megawati Soekarnoputri, and State Minister of
Cooperatives Zarkasih Nur.

Zarkasih's predecessors Subiakto Tjakrawerdaja and Adi Sasono
were also present.

Adi's presence attracted attention, because he reportedly was
on a list of people to be questioned by the Attorney General's
Office for his political activities.

Earlier this month Adi, a close confidant of former president
B.J. Habibie, told an Australian newspaper that Abdurrahman
should be replaced by Megawati due to his poor performance in
leading the country.

During the ceremony, a Memorandum of Understanding was signed
between the Indonesian Cooperatives Council (Dekopin),
represented by its chairman Nurdin Halid, and PT Siwani Trimitra,
represented by businessman Edward Soeryadjaya. (prb/byg)

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