Merrill Lynch says RI outlook exciting

Merrill Lynch says RI outlook exciting

JAKARTA (JP): Merrill Lynch of the United States sees
Indonesia's privatization program as the most exciting
development occurring in Asia today.

David H. Komansky, the company's president, described
Indonesia, with its promising economic outlook and massive
privatization program, as full of opportunities.

"With the establishment of PT Merrill Lynch Indonesia, we
believe we will be well-positioned to contribute to the program,"
Komansky said at a dinner held on Monday night to celebrate the
success of last October's US$1.1 billion privatization of PT
Indosat.

Included in those attending the dinner were Minister of
Finance Mar'ie Muhammad, Minister of Tourism, Post and
Telecommunications Joop Ave and Indosat's president, Tjahjono
Soerjodibroto.

Mitchell Shivers, president of Merrill Lynch Indonesia, Hashim
Djoyohadikusumo and Al Njoo, respectively the president and a
member of the joint venture's supervisory board, also attended
the dinner.

Merrill, which acted as the global coordinator of Indosat's
initial public offering, recently established a joint securities
venture with PT Persada Kian Pasti Lestari as part of its
business strategy to tap Indonesia's growing capital market,
Komansky said.

The success of Indosat's simultaneous listing on the Jakarta
and New York stock exchanges has been hailed by leading financial
publications around the world. Asiamoney named Indosat the Deal
of the Year. International Financing Review awarded it Best Asian
Equity Deal of the Year while Euroweek's Asian capital markets
poll listed the company as the Best Asian Equity Issue and the
Best Privatization Equity Issue of 1994.

Komansky hopes future privatization will further raise the
Indonesian profile in the world.

The Indonesian government is currently preparing the
privatization of PT Telekomunikasi Indonesia (Telkom), the
provider of domestic telephone services. Telkom, with about
45,000 employees, is likely to become the second state-owned
company to be listed overseas.

Subsidiaries of two major state corporations, which are the
electricity firm, PLN, and the oil company, Pertamina, are also
high on the agenda in the government's privatization
program.(hen)