IBRA to visit Singapore next month to offer assets
IBRA to visit Singapore next month to offer assets
JAKARTA (JP): The Indonesian Bank Restructuring Agency (IBRA)
will visit Singapore to offer assets early next month as the
Singaporean government was set to disburse loan facilities to the
city state's businessmen to buy Indonesian assets, Indonesian
Ambassador to Singapore Luhut Pandjaitan said on Sunday.
"There will be a one-to-one business meeting (between IBRA and
Singaporean businessmen) during the visit. IBRA will offer
properties, including hotel and buildings, to the Singaporean
businessmen," Pandjaitan said, adding the visit would take place
on May 5.
The Singaporean government has pledged US$500 million in loan
facilities for the country's businessmen to buy the assets owned
by IBRA and another $400 million in guarantee for the country's
businessmen who invest in Indonesia.
The pledge, which was announced by Singapore's Prime Minister
Goh Chok Tong during his visit to Indonesia in January this year,
aimed at reviving investor confidence in Indonesia which has been
most severely battered by the economic crisis in the region.
Pandjaitan said IBRA's visit to Singapore would be followed by
a visit by Singaporean investors to Indonesia from May 31 and
June 1 to explore possible partnership with Indonesian small and
middle sized companies.
"This proves the Singaporean government is serious in
providing assistance to Indonesia. It's now up to the local
companies whether to actively grab the opportunities," Pandjaitan
was quoted by Antara as saying.
Pandjaitan said the Indonesian-Singaporean economic
cooperation has steadily recorded progress, but he admitted the
social unrests and political struggle have dampened the interest
of Singaporean businessmen in Indonesia.
He said he had worked hard to persuade the Indonesian tycoons
of Chinese origins, who fled the country with their wealth during
the peak of the economic crisis and political turmoil in 1998, to
bring back their funds to Indonesia.
But, he said, the efforts did not bear fruit since many of
them were still worried about Indonesia's political future.
"Thereby, let's avoid (political) polemic. What we need now is
jobs which will revive the economy," he said.
Pandjaitan also denied the allegation that the government's
policy to impose value-added taxes and luxury taxes in Batam and
neighboring islands Bintan and Karimun had troubled the
investment climate in the islands.
He said the Singaporean businessmen's interest in making
investment in the islands remained high, citing that Singaporean
leading business Jurong Sepiat planned to relocate its production
facilities to Karimun in the near future amid controversies over
the tax policy.
"The tax policy was made at the request of the International
Monetary Fund (IMF). Thus, the investors, mainly Japanese
investors, should file their protests with the IMF rather than
the Indonesian government.
"In fact, the investors also provided funds to IMF. Thus let
the investors fight with the IMF," Luhut said.
According to Pandjaitan, Japanese businessmen account for 58
percent of investment in Batam, while Singaporean businessmen 25
percent. (jsk)
JAKARTA (JP): The Indonesian Bank Restructuring Agency (IBRA)
will visit Singapore to offer assets early next month as the
Singaporean government was set to disburse loan facilities to the
city state's businessmen to buy Indonesian assets, Indonesian
Ambassador to Singapore Luhut Pandjaitan said on Sunday.
"There will be a one-to-one business meeting (between IBRA and
Singaporean businessmen) during the visit. IBRA will offer
properties, including hotel and buildings, to the Singaporean
businessmen," Pandjaitan said, adding the visit would take place
on May 5.
The Singaporean government has pledged US$500 million in loan
facilities for the country's businessmen to buy the assets owned
by IBRA and another $400 million in guarantee for the country's
businessmen who invest in Indonesia.
The pledge, which was announced by Singapore's Prime Minister
Goh Chok Tong during his visit to Indonesia in January this year,
aimed at reviving investor confidence in Indonesia which has been
most severely battered by the economic crisis in the region.
Pandjaitan said IBRA's visit to Singapore would be followed by
a visit by Singaporean investors to Indonesia from May 31 and
June 1 to explore possible partnership with Indonesian small and
middle sized companies.
"This proves the Singaporean government is serious in
providing assistance to Indonesia. It's now up to the local
companies whether to actively grab the opportunities," Pandjaitan
was quoted by Antara as saying.
Pandjaitan said the Indonesian-Singaporean economic
cooperation has steadily recorded progress, but he admitted the
social unrests and political struggle have dampened the interest
of Singaporean businessmen in Indonesia.
He said he had worked hard to persuade the Indonesian tycoons
of Chinese origins, who fled the country with their wealth during
the peak of the economic crisis and political turmoil in 1998, to
bring back their funds to Indonesia.
But, he said, the efforts did not bear fruit since many of
them were still worried about Indonesia's political future.
"Thereby, let's avoid (political) polemic. What we need now is
jobs which will revive the economy," he said.
Pandjaitan also denied the allegation that the government's
policy to impose value-added taxes and luxury taxes in Batam and
neighboring islands Bintan and Karimun had troubled the
investment climate in the islands.
He said the Singaporean businessmen's interest in making
investment in the islands remained high, citing that Singaporean
leading business Jurong Sepiat planned to relocate its production
facilities to Karimun in the near future amid controversies over
the tax policy.
"The tax policy was made at the request of the International
Monetary Fund (IMF). Thus, the investors, mainly Japanese
investors, should file their protests with the IMF rather than
the Indonesian government.
"In fact, the investors also provided funds to IMF. Thus let
the investors fight with the IMF," Luhut said.
According to Pandjaitan, Japanese businessmen account for 58
percent of investment in Batam, while Singaporean businessmen 25
percent. (jsk)