Tue, 25 Sep 2001

Implications of U.S. military action

An (American) assault on Afghanistan, if or when it happens, is certain to take a pretty long time to complete because it aims not only to punish, but to demolish the centers of terrorism as well. Further, such an assault will mark the beginning of actions taken by many countries to fight terrorism, either through diplomatic means or through the force or arms.

Given that the current tension around the Persian Gulf brings implications that more or less resemble those of the (1991) Gulf War when Iraq invaded Kuwait, only to be driven back by the Western powers and Kuwait, the Indonesian government naturally already has plans about how to cope with the possibilities that might arise.

Since the U.S. government does not want to lose the momentum provided by the public' sentiment at home, the tension in the Persian Gulf area is now likely to explode in a matter of days. Apart from its effect on gold prices and on the value of the dollar and the far-reaching effects that this could have, sea and air transportation and oil prices are likely to feel the implications too.

-- Bisnis Indonesia, Jakarta