JSX ready for the millennium bug

JAKARTA (JP): The president of the Jakarta Stock Exchange (JSX), Mas Achmad Daniri, said on Tuesday the exchange was nearly year 2000 compliant.

"Almost 100 percent of the hardware in the exchange's infrastructure is Y2K compliant," Daniri said.

However, he said some minor problems in a few areas still required further attention.

"Only some minor areas need fine-tuning," he said, adding that the exchange was working with an Australian Y2K auditor firm.

The exchange's management has now turned its attention to helping exchange members and listed companies reach Y2K compliance.

According to the exchange's latest bulletin, of 46 exchange members, 20 are 100 percent Y2K compliant, 18 are 75 percent compliant, three are 50 percent compliant, three are 25 percent compliant and one is 90 percent compliant.

The bulletin also said most of the companies listed on the JSX were nearly Y2K compliant.

As the next millennium approaches and with the press progressively reporting the threats behind the millennium bug, many local companies have become increasingly anxious about the future of their computerized operations.

Experts said it could take up to three years to make the computerized system and equipment of a big corporation Y2K compliant, and cost the corporation up to US$30 million.

Smaller companies with less dependency on computer systems may take less time to carry out the Y2K preparation program, and cost them about $50,000.

Daniri also said the exchange's infrastructure was compatible with the planned system for the secondary market for government- issued bonds.

He said JSX management would work with the management of the Surabaya Stock Exchange to support the establishment of the bond market.

The government has said it will coordinate with the central bank and capital market authorities to set up a secondary market for the bonds.

Daniri said he had met with officials from the Ministry of Finance to discuss the establishment of the bond market. (udi)