Gus Dur says IMF playing into his enemies' hands
Gus Dur says IMF playing into his enemies' hands
BANGKOK (Agencies): Indonesian President Abdurrahman Wahid has
claimed that the International Monetary Fund (IMF) is bolstering
his enemies by delaying its latest aid tranche, according to
local media.
The IMF was playing into his adversaries' hands by criticizing
his administration, Abdurrahman told the Bangkok Post in comments
reported Sunday.
"The IMF must learn the art of compromise... The IMF must
understand me," he said.
The organization, for example, should realize that it is
politically prudent for the Indonesian government to continue
subsidizing farmers for at least three years, Wahid said.
It must also appreciate that certain political factors will
take time for Jakarta to control, Wahid said, alluding to recent
separatist activity throughout the archipelago, such as in Aceh.
For its part, Indonesia will try to "meet the IMF
stipulations," the President said.
IMF officials are reported to be frustrated with and critical
of the current political instability and Wahid's handling of the
economy.
Earlier this week Indonesia's coordinating minister for the
economy confirmed that the IMF had delayed the scheduled December
disbursement of a US$400 million loan to Jakarta.
According to Jakarta media reports, Indonesia has failed to
fulfill a number of key reform commitments on deadline, prompting
the fund to postpone this month's loan disbursement, part of a
five billion dollar loan package, until February or March.
But Indonesian officials have stressed that the delay is for
purely technical reasons related to "scheduling" and is not
Jakarta's fault.
The IMF came to Indonesia's rescue when the regional financial
crisis hit the country in 1997. However, the bailout is subject
to Indonesia's economic reform.
Abdurrahman visited Bangkok on Dec. 14 and 15 to receive an
honorary doctorate in philosophy from the Asian Institute of
Technology, a university in the Thai capital.
Singapore
Abdurrahman also said he had spoken to Singapore Senior
Minister Lew Kuan Yew about stopping commercial banks in the
island state speculating in the beleaguered rupiah.
But Lee told him the central bank had no authority over
commercial banks in this area, the Bangkok Post further reported.
"When I said to him (Lee) that the central bank of Singapore
should advise commercial banks to stop dealing in rupiah, he said
the Singapore central bank had no authority over commercial
banks.
"In a way, he said that the government of Singapore will not
do anything to stop this kind of speculation."
The Indonesian President did not elaborate or say when his
conversation with the senior minister took place and Lee's office
in Singapore could not immediately be contacted.
The beleaguered rupiah has been hit hard by political and
economic worries. The currency was last quoted at Rp 9,340 to the
dollar on Friday.
His comments came barely three weeks after he accused
neighboring Singapore of taking advantage of Indonesia's woes and
caring only about profits, and that the largely Chinese island
state was anti-Malay.
Since then ministers from both sides have tried to downplay
the impact of Wahid's remarks on bilateral ties.
Abdurrahman, noted for his confusing and often bizarre
comments, also repeated a suggestion he made at the ASEAN summit
in Singapore last month that East Timor should be brought into
the regional grouping, a move which he said Lee disagreed with.
The Indonesian leader said the main purpose of the Association
of South East Asian Nations was to show solidarity and to help
poorer members.
Abdurrahman had also called for Papua New Guinea to be allowed
to join the Southeast Asian grouping.