Indonesia invited to invest in Mongolia

JAKARTA (JP): Mongolian President Punsalmaagiin Orchirbat has invited Indonesia to participate in the exploration of the central Asian country's oil and gas reserves.

The Mongolian president made the invitation during a meeting with President Soeharto.

Minister/State Secretary Moerdiono said the Mongolian president also proposed Indonesia participate in exploiting Mongolia's large amount of livestock.

Orchirbat arrived here Monday evening for a three-day visit aimed at boosting ties between the two countries.

He is accompanied by his wife, Sharavyn Tsevelmaa, and Foreign Minister Shukeriin Altangerel.

Moerdiono did not elaborate on the extent of cooperation it proposed in oil and gas exploration.

Mongolia's livestock is mostly sheep and cattle and it outnumbers Mongolia's 2.5 million human population.

"Mongolia has offered Indonesia the chance to build a meat and dairy processing factory there," Moerdiono said.

He said entrepreneurs were being invited to invest in Mongolia's wool sector because Indonesia was known for its successful textile industry.

Moerdiono said the Mongolian head of state was very interested in learning about Indonesia's development during the 90-minute meeting.

"The president, of course, explained the basics of our development policy," he said.

He said that "if Mongolia considers it necessary, Indonesia's senior economic and development policy architects could give their views on Mongolian development."

After the talks, the two heads of state witnessed the signing of a Memorandum of Understanding on the protection and promotion of investment by Indonesian foreign minister Ali Alatas and Shukeriin Altangerel.

The Mongolian president reiterated his country's desire to join the ASEAN Regional Forum (ARF).

The ARF is an annual political security consultative dialog.

Moerdiono did not say how Indonesia responded to this request.

Orchirbat left for Bali yesterday and will go to New Zealand later today. (mds)