Mon, 12 Jul 1999

Habibie tells governors and regents to alleviate poverty

JAKARTA (JP): President B.J. Habibie has requested all governors, regents and mayors to concentrate on alleviating poverty in urban areas, coastal areas and "backward villages".

He said in a meeting on Saturday with regional authorities that the reduced number of poor people, from 79.5 million (39.5 percent of population) to 49.5 million (24.23 percent), provided the "momentum" to make a success of "family and community empowerment" by helping those who were less fortunate.

He was referring to the figures announced on Friday by the Central Bureau of Statistics (BPS) for the number of people living below the poverty line in mid 1998 and at the end of 1998.

However, BPS chairman Sugito Suwito said the number of poor people had increased since 1996.

Sugito said the urban poor were the hardest hit by the economic crisis, saying their numbers had increased by 114 percent compared to a growth of 108 percent for rural poor from 1996 to the end of 1998.

Sugito explained that the drastic decrease of 30 million people living below the poverty line over only six months was due to a "pessimistic scenario" in mid-1998, as quoted in Kompas daily.

He said estimates at the time were made during "the very gloomy macroeconomic and political situation following the resignation of president Soeharto in May".

At the meeting with the regional officials at the Ministry of Home Affairs, Minister of Defense and Security/Indonesian Military Commander Gen. Wiranto asked provincial governors to curb the flow of rural people to the capital.

"The increasing number of slum areas in the city is quite prone to crime, and they could be potential threats to security and stability. Therefore, governors and regents are expected to improve coordination to curb urbanization," he said.

He acknowledged that the capital may appear promising to many people in rural areas, but said it could accommodate only a limited number of newcomers.

"With simple, traditional musical instruments, (newcomers) can earn at least Rp 5,000 per day on buses, at intersections and housing complexes," Wiranto said, adding that it was very difficult for villagers to earn even Rp 1,000 in rural areas.

But the slum areas surrounding many affluent compounds here pose serious problems for security personnel, he said.

Meanwhile, Minister of Social Services Yustika Baharsyah said her ministry lacked funds to provide the necessary services and financial aid for victims of poverty and natural disasters.

She complained that of the latest allocation of Rp 17.9 trillion channeled through the social safety net program (JPS), her office got only Rp 24 billion, while there was no reports of leaks of funds from her ministry.(rms/anr)