Land compensation
Land compensation
News about restless land owners in Tarumajaya village in
Bekasi, near Jakarta, due to the very low land compensation of Rp
50 (US$0.023) per square meter, has touched us deeply.
Once again we hear similar stories about incredibly low land
compensation in Bekasi given to villagers who will later see that
luxurious buildings to the tune of millions of rupiah are
replacing their houses.
Many of these villagers have lodged their protests with the
House of Representatives and the Presidential Bina Graha office,
though without much result.
Many of these lands in Bekasi were rice fields which were
turned into private sector use under the pretext of usage
alteration for regional development and in defiance of the 1990
Presidential Decision No. 33 on land usage for industrial area
purposes.
Farmers have been the principal losers in this practice. In
the last five years, Bekasi has lost 7,000 hectares of paddy
field that has been turned into either industrial areas or
housing complexes. And it is believed that a total of 10,000
hectares of rice fields will face the same fate from 1993 to 1998
in Bekasi.
This reckless pattern is being repeated in other parts of the
country, including on Batam island. But the fact that such a
thing could happen in a place only about 30 kilometers from
Jakarta has forced us to contemplate such treatment.
The explanations we have so far (such as demand outstripping
supply or capitalism in its rawest form) are no longer
satisfactory. All of these may be true but essentially it is
about power--power that comes from the people and should be used
to serve the people, but has been used for personal gain.
-- Kompas, Jakarta
;JP;HPR;
ANPAk..r..
Otherop2-Bosnia-US
The U.S. stand on Mosnia
JP/4/Otherop2
The U.S. stand on Bosnia
President Clinton was right to resist earlier pressures to
commit U.S. forces either to repel the Serbian aggressors or to
serve as neutral peacekeepers. But he is now right to agree in
principle to send substantial numbers of American troops should
NATO be called upon to cover the withdrawal of U.N. forces.
First, however, Clinton must get congressional approval; and
Congress has an obligation to define strict time limits for any
U.S. involvement and to insist on force levels that provide
maximum protection to American and allied troops.
The U.N. has not yet decided to withdraw its soldiers, nor is
any nation about to withdraw unilaterally. The Clinton
administration hoped its troop offer would encourage those
countries that have been publicly contemplating withdrawal,
chiefly France, to stick it out a little longer. The initial
French reaction suggests that Washington has succeeded on that
score.
But in truth, the U.N. presence has been a mixed blessing,
hemmed in by its mandate of scrupulous neutrality. Recently the
lightly armed U.N. forces have not even been able to protect
themselves. In past weeks Serbian units have taken 300 of the
blue helmets hostage, to use as pawns.
Under these circumstances, the United Nations and several
countries with troops on the ground have asked NATO to draw up
plans to provide military cover for their withdrawal. NATO, which
acts only by consensus, could decline. But the majority of the
23,000 U.N. troops at risk come from France, Britain and seven
other NATO countries.
For the U.S. to veto or stand aside from a NATO relief
operation could inflict a mortal blow to the troubled alliance,
still a key element of U.S. global security strategy. At the
heart of NATO is a U.S. commitment to defend its European Allies.
Moreover, abandoning the surrounded troops would cripple the
U.N.'s ability to deploy troops in situations where the U.S.
might otherwise have to be involved.
Bosnia's warring armies say they would not harass withdrawing
U.N. troops. But the Bosnian Serbs' promise is unreliable.
Serbian troops surround U.N. forces in many areas and withdrawal
could be a difficult operation. Before Clinton commits U.S.
troops to such a risky mission, the Constitution and political
sense oblige him to secure congressional support.
Republicans will reasonably insist that a withdrawal operation
be under direct NATO command, unlike recent bombing operations
that were under joint U.N.-NATO control. They would also do well
to hold the administration to its word that any NATO intervention
will employ overwhelming military force to deter potential
problems from any Bosnian faction.
Since the U.S. is prepared to supply as many as 25,000 troops
out of a NATO total of 50,000, Washington will have a chance to
influence strategic planning. Bosnia's tragedy has brought no
glory to anyone. But it need not end in the further disaster of
U.N. military catastrophe and the breakdown of NATO if Clinton
and Congress plan together.
-- The New York Times
;JP;HBK;
ANPAk..r..
Otherop3-China--inflation
JP/4/otherop3
China's jitters over inflation
At an annual rate of over 20 percent, China's inflation is the
nightmare of any economic planner. Add to it the memory of the
1989 Tiananmen blood-shed, which was sparked partly by the
rampant price increases at that time, and one could understand
why the Chinese Communist Party is jittery about the current
situation.
It warned last Tuesday that, unless drastic measures were
taken to moderate the inflationary pressure, the country would
soon be swamped, not only by economic chaos but also by social
and political unrest. Implicit in the warning was an attack on
the People's Bank of China, the central bank.
The bank, while agreeing that inflation needs to be contained,
has argued that a certain amount of price increase is necessary
for the continued growth of the economy. But it is not just the
broad policy philosophy that is causing a rift here. Also in
dispute is the specific policy instrument being used to fight
inflation.
Unlike the central bank, which favors a rise in interest
rates, the Chinese Communist Party has asked for price control to
be imposed. Economists have long recognized the limitations of
price control as an anti-inflation tool. Yet, it is a measure
that will extract the least political cost in the short run,
which explains its popularity among politicians.
If, however, the root cause of China's inflation problem lies
in its loose credit policy as many have suggested, then a
tightening of interest rates will seem more appropriate. But it
will be simplistic to suggest that a general interest rate
tightening is all that is required.
At the end of the day, inflation is but one of the many
problems confronting China in its transition from a centrally-
planned economy to a free market system. All of them are
intertwined, and none could be resolved without extracting a
price on other fronts.
A more stringent allocation of funds, for example, will add to
the debt payment of many loss-making state-owned enterprises, and
with it, the unemployment rate. Yet, unpleasant policies are
unavoidable in such a mammoth endeavor. The sooner the Chinese
government takes the bull by the horns, the more gradual, and the
less painful, the adjustment process will be.
-- The Straits Times, Singapore
;JP;HBK;
ANPAk..r..
Otherop4-trade
Time is right for WTO
JP/4/otherop4
Time is right for WTO
The decision to start up the World Trade Organization on Jan.
1, 1995, is indeed the best way to begin the new year. The World
Trade Organization will stand alongside the International
Monetary Fund and the World Bank as the third pillar of a new
world economic order.
A total of 145 countries have expressed interest in being part
of the new body and so far, just over 40 countries have ratified
the treaty, which will prize open markets for services, textiles
and farm produce.
It is hoped that China will be able to reach an agreement with
the United States on the terms for its entry before the end of
the year. Although this may appear to be a daunting task, with
the true spirit of free trade and political courage, a solution
can be reached.
-- Berita Harian, Kuala Lumpur