JAKARTA (JP): Observers have called for the prompt issuance of

JAKARTA (JP): Observers have called for the prompt issuance of
regulations to clearly define the respective functions of the
military and police so as to avoid the kind of overlapping that
has frequently sparked conflicts between the two organizations.

Koesparmono Irsan and Munir joined the chorus on Thursday
saying that the conflict between the military and police had
reached an alarming level, not only because of the increasing
number of clashes, but also because of the increasing number of
personnel at all levels involved in the clashes.
Page 2

Councillors demand life assurance of Rp 4 billion

JAKARTA (JP): After courting controversy for recent trips
abroad, the City Council has now asked the city administration to
provide councillors, for the first time ever, with life
assurance.

"It's such a headache. The councillors have now demanded Rp
4.25 billion (US$472,222) for life assurance for the council's 85
members," a senior city official, who asked not to be named, told
reporters here on Thursday.
Page 3

President Megawati Soekarnoputri addressed a gala dinner in
Washington D.C. on Wednesday, held by the United States-Indonesia
Society during her visit to the U.S.
Page 5

Sanchez-Vicario survives scare as Clijsters cruises

TOKYO (Agencies): Fifth seed Arantxa Sanchez-Vicario saved
three match points against Croatian qualifier Silvija Talaja
before winning a marathon match 6-4 6-7 7-6 on Thursday to reach
the quarterfinals of the Toyota Princess Cup.

Top seed Kim Clijsters of Belgium, who received a first-round
bye, began her bid for a second title of the year with a
commanding 6-0 6-3 victory over Zimbabwe's Cara Black under
floodlights at Tokyo's Ariake Colosseum.
Page 6

World growth seen falling to Asian crisis levels

MANILA (AFP): Global economic growth could be cut by half this
year, the Asian Development Bank (ADB) warned Thursday, likening
the fallout of the deadly terrorist attacks in the United States
to the mid-1997 Asian crisis.

It said the destruction of the World Trade Center and part of
the Pentagon by hijacked airliners last week would also help
prolong Asia's downturn by at least half a year, with a subdued
recovery not expected until next year.
Page 10

BI mulls lowering interest rates

JAKARTA (JP): Bank Indonesia (BI) will allow its benchmark
interest rate to decline if pressure on prices and the rupiah
continue to lessen over the next couple of weeks, central bank
deputy governor Miranda Goeltom said on Thursday.

Miranda said that although Bank Indonesia would retain its
tight money policy for the moment it was possible that reign over
the policy would be considerably lessened in the near future.

Page 12

Pakistan ruler plays India card to rally support

ISLAMABAD (Agencies): Pakistan's military ruler has played one
of the few cards he has to rally the nation behind his decision
to side with Washington in its war on terrorism -- a fear and
hatred of nuclear rival India.

Portraying his decision as the only possible choice for
Pakistan, Gen. Pervez Musharraf told the nation on Wednesday that
India was busy using the crisis spawned by the Sept. 11 attacks
on the United States to harm Pakistan and its interests.

Page 14