Govt targets Rp 8 trillion in privatization of state firms
Govt targets Rp 8 trillion in privatization of state firms
JAKARTA (JP): State Minister of Investment and State
Enterprise Development Laksamana Sukardi said on Wednesday the
government expected to raise Rp 8 trillion (US$1.1 billion) in
funds from the privatization of state enterprises in the 2000
fiscal year.
Laksamana said the government had prioritized selling those
state companies with small assets and huge debts.
He said the government would watch the market sentiment, and
not sell the government's stake in state firms if the market was
sluggish.
"We will try to maximize our profits," Laksamana said after
inaugurating senior officials in his state ministry.
Laksamana said the government would therefore work on
increasing the value of its companies through restructuring and
reorganizing.
Meanwhile, Benny Pasaribu, the ministry's new deputy for
mining, energy, strategic industries and telecommunications, said
there were ways of selling state companies with small assets and
huge debts.
"I think it's possible through careful studies. What is
important is the price we offer," Benny, who is a legislator for
the Indonesian Democratic Party of Struggle (PDI Perjuangan),
said.
However, the government should not neglect the public interest
when pricing state assets, he said.
"I am against the stand of simply selling state companies
without heeding the function of the government and state firms as
stated in the constitution," Benny said, citing article 33 of the
constitution, which stipulates that Indonesia's resources should
be used for the maximum benefit of the people.
Sixteen new senior officials were inaugurated yesterday, many
of them officials from the Investment Coordinating Board (BKPM).
Former BKPM officials who retained their positions or were
assigned to new positions include Bacelius Ruru, who is now
deputy chairman for supervision and control, Hidayatullah
Suralaga (deputy chairman for policy, planning and investment)
Risaldi Kasri (deputy chairman for international relations and
investment promotion), Andung Nitimihardja (deputy chairman for
national business development) and Yus'an (deputy chairman for
investment services and facilities).
New faces appointed as BPKM deputy chairpersons include Irsan
Azhary Saleh, who is responsible for the financial sector and
construction services, Budi Susetyo (logistic and tourism
sectors), Benny Pasaribu (mines, strategic industries, energy and
telecommunications sectors), Muwardi P. Simatupang (agribusiness,
forestry, paper, printing and media sectors) and I Nyoman Tjager
(restructuring and privatization of state firms).
In addition, Laksamana also installed new expert staff,
including Soeroso who is assigned to advise Laksamana and the
BKPM on macroeconomic issues, Bambang Hermanto (micro investment
issues), Asril Noer (inter-institutional relations), Winarto
(entrepreneurship and funding) and Riza Primadi (communications
and the media). (03)