IMF chief's visit a show of confidence

JAKARTA (JP): The managing director of the International Monetary Fund (IMF), Michel Camdessus, arrived here yesterday evening for a two-day visit to show support for the country's reforms to tackle the monetary crisis.

Speaking upon his arrival at Soekarno-Hatta International Airport, Camdessus expressed his confidence that Indonesia would eventually recover from the current economic downturn after it fully implemented the IMF-backed reform program.

"Of course this year, or possibly next, will still be difficult. But I'm personally confident, if this program is fully implemented, it will have all the potential to put your country back on a very good track, with solid and even more sustainable growth," Camdessus said.

He also commended the government's determination to implement the program, including the dismantling of the National Logistic Agency's (Bulog) trading monopoly on several commodities and the closure of 16 ailing banks.

He described the program as the government's effort "to strengthen the basis for growth and strengthen the country's capacity to react to every turbulence in the financial market".

"This is the program of your country, designed by your authorities, of course, with the support of the IMF, the World Bank and the Asian Development Bank," Camdessus said.

The IMF announced an aid package for Indonesia last month of about US$23 billion to help the country implement its reform program to face the economic and monetary crisis.

"I believe that now it is a matter of confidence, and I'm sure that if the people of Indonesia trust their country and have confidence in their own program, the world will follow suit," Camdessus said.

"And I want to tell the world that Indonesia is now in better shape," he said.

Yesterday evening, Camdessus met with Indonesian economic officials to discuss the implementation of the reform program.

This morning, Camdessus was scheduled to have a breakfast with businesspeople and bankers before meeting with President Soeharto and holding a press conference at Borobudur Inter-Continental Hotel. (rid/oby)

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