Indonesian stocks declined, with the benchmark sliding for a

Indonesian stocks declined, with the benchmark sliding for a
fourth day. Bank Danamon led lenders lower after the government
said interest rates will fall at a slower rate this year, raising
concern loan growth will slow.

Pharmaceutical companies dropped on concern a weaker rupiah
will make it more expensive to import raw materials. PT Kalbe
Farma, which buys more than 90 percent of materials overseas, led
declines.

The Jakarta Composite Index fell 6.712, or 0.9 percent, to
752.932 at the 4 p.m. close in Jakarta. The index lost 4.2
percent this week, paring its gain this month to 8.8 percent.

Bank Danamon fell Rp 25, or 1.1 percent, to Rp 2,275. Bank
Central Asia, the nation's third-biggest lender by assets, lost
Rp 25, or 0.7 percent, to Rp 3,850.

Minister of Finance Boediono told reporters at a conference in
Bali interest rates would fall at a slower rate in 2004. The
yield has fallen 4.83 percentage points in 12 months. The yield
on the benchmark one-month central bank bill fell for a seventh
week on Wednesday, dropping 20 basis points to 7.86 percent, the
lowest since the bills started in July 1998.

Bank Mandiri, the country's largest bank by assets, fell
Rp 25 rupiah, or 1.9 percent, to Rp 1,300. The government said it
plans to sell 10 percent of its 80 percent stake in the bank
before the end of June. The stake in Mandiri will be offered to
the public, said Bacelius Ruru, Secretary to Office of the State
Minister of State Enterprises.

Kalbe Farma tumbled Rp 50, or 9.5 percent, to Rp 475. PT
Tempo Scan Pacific, a smaller rival, fell Rp 50, or 0.8
percent, to Rp 5,900. The rupiah was set for its third weekly
decline. It fell 0.3 percent to Rp 8,460 as of 4:17 p.m. in
Jakarta. -- Bloomberg