Indonesian Political, Business & Finance News

Koizumi ends visit, wins backing for free trade vision

Koizumi ends visit, wins backing for free trade vision

The Jakarta Post, Jakarta

Japanese Prime Minister Junichiro Koizumi ended his two-day state
visit to Indonesia on Sunday, winning unreserved support from
President Megawati Soekarnoputri for his regional free trade
vision.

Koizumi, who arrived here on Saturday, flew out of the country
at noon from Halim Perdanakusumah airport to Singapore Sunday,
his fifth and last stop on a tour of Southeast Asia.

Earlier on Sunday, Koizumi laid a wreath at the Kalibata
Hero's Cometary in South Jakarta and called on House Speaker
Akbar Tandjung, who was accompanied by House deputy speaker
Tosari Wijaya, chairman of House Commission I Ibrahim Ambong,
Commission I vice chairman Astrid Susanto, and the deputy
chairman of Inter-Parliamentary Cooperation, Iris Indiramurti.

Briefing the press after the meeting, Akbar said Koizumi had
raised questions relating to Indonesia's domestic security and
political conditions, the election system employed for the 2004
general elections and the registration mechanism for legislative
members.

Koizumi, according to Akbar, fully supported Indonesia's
efforts to create political stability and maintain territorial
integrity and national unity for the sake of people's welfare.

Akbar also said Japan would continue to help Indonesia revive
its economy, battered since the 1997 economic crisis.

"Japanese Prime Minister Junichiro Koizumi expressed the
commitment of the Japanese government to continue to assist
Indonesia in its economic recovery and in its development,"
Tandjung said.

Akbar said he also asked Prime Minister Koizumi to boost
bilateral trade and promote investment in Indonesia, especially
in building infrastructure as well as opening the door to more
Indonesian exports.

Koizumi had already dashed Jakarta's hopes of a new major loan
commitment to help it surmount its daunting economic problems.

During the meeting, Koizumi also handed over 40 books on
politics and economics to Akbar as the House speaker.

Foreign Minister Hassan Wirayuda said earlier that Jakarta
expected Tokyo to offer fresh loans or some other form of aid
during Koizumi's visit.

Koizumi was only considering offering US$10 million to help
people made homeless by internal conflicts in Aceh and the Maluku
islands, as well as for East Timorese refugees in Indonesia's
West Timor, his officials said.

He also promised 500 million yen ($3.8 million) to improve
elementary and secondary education.

During his talks with Megawati, Koizumi had briefed her on his
proposed comprehensive economic partnership between Japan and the
Association of Southeast Asian Nations (ASEAN) of which Indonesia
is a founding member.

The partnership, which Koizumi said may include free trade
accords between Japan and the 10-member ASEAN, should be expanded
to other regional countries such as China, South Korea, Australia
and New Zealand.

Megawati has welcomed the idea.

Jakarta has been among the biggest recipients of Tokyo's
foreign aid, with a total amount of more than four trillion yen
($40 billion) over the past two to three decades.

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