Thu, 12 Apr 2001

Gus Dur aims to replace customs chief

JAKARTA (JP): In a bid to boost the state's coffers, President Abdurrahman Wahid plans to replace top customs and excise officials in order to bolster flagging tax revenues.

Abdurrahman, during a meeting with the Interethnic Brotherhood group, reportedly said that Director General of Customs and Excise Permana Agung would be one of the first to go.

There was no word on who would replace him.

Fonumero Ziraluo, spokesman for the community group, said Abdurrahman wanted to intensify efforts to meet the Rp 179.9 trillion tax revenue target in the current budget.

Concerns that the government might not be able to meet that target this year increased after it scrapped plans to impose some controversial taxes and following the fall in the value of the rupiah.

Tax revenues account for the majority of domestic revenues, forecast at Rp 263 trillion.

Chief economics minister Rizal Ramli warned last week the 2001 budget deficit could exceed 5 percent of gross domestic product if the government did not take prompt action, including stepping up efforts to boost tax revenues.

The weakening rupiah, high interest rates and lower-than- expected revenues have been blamed for the deficit.(byg)