Sat, 24 Aug 2002

Japan creates its own wall

Kornelius Purba The Jakarta Post Staff Writer Seminyak, Bali korpur@yahoo.com

At 33, politician Kiyohiko Toyama from the New Komeito Party perhaps is a commendable portrait of the younger Japanese people's inertia against Japan's much-criticized Official Development Assistance (ODA) for rampant corruption by the recipients and Japanese parties involved in managing the huge fund.

Speaking in the Third Asian Statesman's Forum last Tuesday, Toyama, an Upper House member, described his own finding during a recent visit to East Timor. He found that a power plant in the new state is not operated by the East Timorese, but by Japanese and other expatriates.

Toyama was furious when an East Timorese just replied,"Let the Japanese government comes back to fix it," when he was asked about the fate of the power station if one day Japanese people leave Dili.

"We do not want to keep this dependent mentality," Toyama said.

For decades developing countries, especially Southeast Asian countries, are economically very dependent on Japan. Japan is an endless source of cheap and easily abused loans, it imports nearly everything and exports nearly all the needs of the people in the regions. Its companies are very aggressive, at all means, to win Japanese-funded projects. Nereus Acosta, a Filipino Congressman, said in his speech that about 40 percent of the Philippine's annual budget, much of it from Japan, was corrupted.

But who cares about Japan's own problems? Japan is still unable to get rid of its economic crisis that hit 10-years ago. It is true. But look at another fact that despite its prolonged economic disaster, the country is still able to retain its position as the world's second biggest economy after the U.S. And look at the Japanese tourists who stay at five-star hotels in Bali and their shopping habits: they are rich people who are not affected by their current economic hardship.

The dependent mentality was also well reflected in the Bali forum. When the session discussed religion and then the terrorist network in the region, Akiko Kato, a researcher from Keio University complained about the negative impacts of the fact that there was practically no religion in Japan.

Her complaint was however considered as an opportunity to ask for further assistance from Japan. "The fact that you are a non- religious country is a plus factor for you to help resolve interreligious conflicts in our region," said a participant from a neighboring country.

Arifin Panigoro, an energy magnate and a legislator, openly acknowledged that he had hosted the Bali meeting in his capacity as a statesman and as a businessman. In one of the sessions, he briefed the participants, many of them were executives of Japanese energy companies, about the lucrative prospect of liquefied natural gas (LNG) from Indonesia.

"Honestly speaking, I want to you to import more of our LNG," Arifin said with a big smile.

In the meantime, Japanese participants used their opportunity to express their frustration, but it seemed unheard. Senior diplomat Makio Miyagawa explained about Japan's gloomy prospect, including the failure of Prime Minister Junichiro Koizumi to realize his economic reform package. Echoing Japanese public sentiment against China's fast economic growth and its military build up, the diplomat noted the necessity of anticipating China's new role in the region.

"We want a constructive engagement in facing China," Coordinating Minister for Political and Security Affairs Gen. (ret) Susilo Bambang Yudhoyono said in response to Miyazawa's concerns. Again who cares with Japan's concerns as its neighbors still regard Japan as source of welfare and money?

A few days before the Bali forum, in Jakarta President Megawati Soekarnoputri received Liberal Democratic Party (LDP) Secretary General Taku Yamasaki. Yamasaki is widely known for his wide-ranging business interests here and his visit this time was officially aimed at celebrating Independence Day. The government often regards Yamasaki as a defender of Indonesia, although for many Japanese he is nothing more than a money broker here.

But now, how can Megawati expect Yamasaki's help, if his own political career has been jeopardized by a sex scandal involving a woman?

Toyama voiced the concerns of the younger Japanese that they actually had also become the real victims of their government ODA policy. Their money as taxpayers is abused by government officials, while they are now facing higher unemployment rates and even layoffs. They want more money to be used for their own welfare.

On the opposite side, Yamasaki is the portrait of the old generation of Japan who still grabs political power, who loves huge infrastructure projects because it is easier to get profit from them rather than grass-root projects. The Japanese press regularly report so many scandals, from corruption to sex, involving top Japanese officials, especially those from the LDP. How can Koizumi implement his reform plan, like the banking restructuring plan and the reduction of megaprojects, if the vested interest of top politicians are often disturbed by the reform measures?

How can Yamasaki preach about good governance to his hosts here, who know about his scandal, and some of them may even think they are smarter than Yamasaki in facing similar situations?

Japanese participants at the forum clearly expressed their hope Japan could retain its Asian leadership, but in the meantime also realized that it is likely only a matter of time before China takes over Japan's economic supremacy.

Toyama is likely a prototype of the younger Japanese generation: Fluent in English, smart and confident they know how to improve Japan's economy. But they are facing a wall, a wall not created by their neighbors but by their own leaders.