Klestil to boost RI-Austria ties

Klestil to boost RI-Austria ties

JAKARTA (JP): Austrian President Thomas Klestil will hold
bilateral talks with President Soeharto at Merdeka Palace this
morning to discuss ways to boost economic ties between the two-
countries.

Indonesian Minister/State Secretary Moerdiono said yesterday
that Jakarta would ask Austria to offset the trade deficit that
exists between the two countries and to seek further investments
here.

In the past year, trade between Indonesia and Austria grew by
about 18 percent to a total of over US$280 million.

"It is part of our foreign trade policy to try and balance our
trade account with other countries," Moerdiono said following
Klestil's arrival.

Klestil arrived on a three-day visit of Indonesia yesterday
with a delegation of some 70 businessmen at the invitation of
President Soeharto, who went to Vienna last year.

During a banquet at the State Palace yesterday evening,
Soeharto pointed out the potential for increased trade and also
congratulated Austria on its membership in the European Union
(EU).

"We are confident that Austria's membership in the European
Union is not an indicator that Austria intends to pursue a
foreign policy that is Euro-centric," Soeharto said.

Klestil noted that following his country's admission into the
EU, Austria plans to strengthen its relations in the Southeast
Asian region, in particular with Indonesia.

Moerdiono also reported that this morning's meeting between
the two heads of state will likely touch on the issue of finding
a peaceful solution to civil war in the former Yugoslavian
republic.

Klestil will spend the day in Yogyakarta tomorrow to see the
Borobudur temple before leaving for Bangkok. (mds)