Indonesian Political, Business & Finance News

Gov't needs a spokesman

| Source: JP

Gov't needs a spokesman

An increase in fuel prices is essential in view of the ailing
state finances. Consequently, the government must sharpen its
priority scale to be able to use available funds for wide-ranging
purposes at this difficult time. The raising of fuel prices
should thus be seen as a rescue measure.

There was relatively little reaction to the government's plan
to raise fuel prices. Many had even urged the government to make
the unpopular policy known to the public.

Even so, street rallies against fuel price hikes are on the
rise. It is still unclear whether the rallies will be confined to
new fuel prices or will turn their attention to the issue of
national leadership. Are the rallies merely a bargaining tactic
in a political game?

Raising fuel prices has put the Megawati Soekarnoputri
government in a dilemma. Unless they are raised, the country will
move toward bankruptcy very rapidly. However, if they are
raised, people on fixed incomes, many of them members or
supporters of the Indonesian Democratic Party of Struggle
(PDI Perjuangan), will be hardest hit.

Fuel prices will also deal a blow to those who have so far
reaped windfall profits from either subsidization or the sharp
differential between fuel prices in the domestic and
international markets.

Anyway, the government has chosen to swallow a bitter pill
that will add to the burden of the general public. Officials
should be praised for their courage in adopting an unpopular and
risky policy.

It would be sensible for the government to appoint a competent
spokesperson -- one with the credibility and authority to explain
state policy and who is capable of explaining complex problems in
simple terms.

-- Bisnis Indonesia, Jakarta

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