Japanese special envoy to meet Habibie

Japanese special envoy to meet Habibie

JAKARTA (JP): A special envoy of the Japanese government is
scheduled to meet with President B.J. Habibie here on Friday to
discuss Japan's financial assistance to the country under the
US$30 billion Miyazawa Plan, a minister confirmed.

Coordinating Minister for Economy, Finance and Industry
Ginandjar Kartasasmita said on Wednesday the government expected
the special envoy to "notify us how much of the funds we will
receive out of the Miyazawa Plan".

"We understand that Japan's government will send its special
envoy to meet the President on Friday... whether this delegation
will deliver us the news or not we shall see," he told reporters
before an economic, finance and industry meeting at Merdeka
Palace.

Ginandjar said the delegation's visit was a follow-up to his
trip to Japan last month to seek more external financing to help
plug the 1999/2000 budget deficit.

Japan's Finance Minister Kiichi Miyazawa proposed the $30
billion plan last year to help revive crisis-hit Asian countries.
The terms and conditions of the bailout money, however, have yet
to be clarified.

Ginandjar said the government planned to finance its social
safety net program with aid from the Miyazawa Plan.

State Minister of National Development Planning Boediono said
on Tuesday neither Japan, the Asian Development Bank or the World
Bank had decided on the amount of aid they would provide under
the Miyazawa Plan.

Boediono said the government expected $5 billion from the $30
billion aid plan.

Ginandjar was quoted by the Neraca daily on Wednesday as
saying that the delay in Japan's decision on Indonesia's share of
the Miyazawa funds could be caused by the large amount of funds
requested by the government.

Out of the aid plan, Thailand would get about $1.8 billion,
Malaysia would receive $1.5 billion, the Philippines would get
$1.4 billion, while Indonesia had asked for $5 billion, he said.

Ginandjar also said on Wednesday that Indonesia's economic
recovery was still hampered by political and security
uncertainty.

"The political processes in Thailand and South Korea have
successfully been completed. However, we are just now going
through the process," he said.

"Many people are still waiting for the results of the general
election," he said, referring to the election to be held on June
7. (das)