Fri, 21 Oct 1994

Indonesia good at telecom, not at road and water: WB

JAKARTA (JP): A World Bank expert said here yesterday that Indonesia's telecommunication system is performing well, but not its water, road and power sectors.

Greg Ingram, a World Bank expert on infrastructure, told journalists that the records on Indonesia came from the bank's reports on infrastructure.

"The telephone system here appears to be performing at a high standard. It's better than those in other countries at the same level of development, while Indonesia's power sector looks very typical compared to other developing countries.

"However, the water and road sectors are somewhat below other countries. Indonesia actually could do substantially better in the water sector and better maintain its paved roads," Ingram said after addressing the five-day World Infrastructure Forum- Asia 1994, which will end today.

Ingram, nonetheless, admitted that Indonesia is a very good customer of the World Bank. He said Indonesia's strength lies in its oil revenue management.

"Its management of oil revenues is the best among oil producing countries," he commented.

Indonesia, Ingram said, has been leading in terms of its macro-economic policies. Its policy of giving more financial resources on education is also seen as a strategic decision.

Meanwhile, John Taylor of the Asian Development Bank (ADB) said that the bank wants to play a more important role in the development of infrastructure in Indonesia.

President Soeharto said at the opening ceremony of the forum on Monday that the role of international institutions like the World Bank and the ADB is still needed for the construction of infrastructure facilities in Indonesia.

"Our commitment is clear. Our fundamental strategy focuses on infrastructure as it is synonymous with economic growth," Taylor said.

He noted that the ADB puts economic growth at the forefront of its programs as it is closely related with the reduction of poverty.

"Our mission is the reduction of poverty, while economic growth is placing an important role on the reduction of poverty," Taylor said.

He added that the ADB is equally concerned with job creation, population control, women participation and sustainable development. (rid)