Indonesian Political, Business & Finance News

Jakarta supports KL's idea on bridge

| Source: AFP

Jakarta supports KL's idea on bridge

KUALA LUMPUR (AFP): Indonesian President Soeharto agreed in
talks here yesterday with Malaysian Prime Minister Mahathir
Mohamad to consider building a bridge to link the Malaysian
peninsula with north Sumatra.

They also agreed to study Indonesia's proposal that ships use
an alternate shipping route through the South China Sea to Japan
to ease congestion in the narrow Strait of Malacca between
Indonesia and Malaysia.

"The two leaders agreed that the proposed bridge is a good
idea and the two governments should discuss it further,"
Indonesian Foreign Minister Ali Alatas told a news conference
after the meeting between the two leaders.

Alatas said they agreed that the private sector should fund
the bridge project, which, he added, would enhance transport
between the two countries.

"For such a project, it is primarily the private sector that
ought to come up with the capital," Alatas said.

Indonesia also plans to build internal bridges to link Sumatra
with Java, Java with Bali and the Batam islands with other
Indonesian islands.

On the alternate route to ease congestion in the Malacca
Strait, Alatas said the leaders were concerned over the heavy
passage of large ships in the waterway, especially of bulky oil
tankers and the risk they posed.

"We have offered a route south of Java, upwards through the
Lombok straits to South China Sea and Japan as an alternative,"
Alatas said.

Both agreed Singapore should be involved in further
discussions.

Shippers say more than 600 vessels, about a third of them oil
tankers, freighters and large ships, use the strait each day.

Touching on bilateral economic issues, Alatas said Mahathir
revealed Kuala Lumpur's intention to continue expanding its
investment in Indonesia, especially in industrial and
agricultural projects.

Indonesia, he said, would welcome labor-intensive industries
now being relocated out of labor-starved Malaysia, he said.
Soeharto returned home late yesterday, wrapping up a 24-hour
visit aimed at enhancing bilateral ties.

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