Indonesian Political, Business & Finance News

Minority parties lament govt one-man-show

| Source: JP

Minority parties lament govt one-man-show

JAKARTA (JP): The minority United Development Party (PPP) and
Indonesian Democratic Party (PDI) expressed disappointment
yesterday over the government's one-man-show in the settlement of
the ongoing economic turmoil.

Budi Hardjono, chairman of the PDI faction in the House of
Representatives, told a press conference that the government had
failed to consult the House about present and past measures taken
so far.

"The government has belittled the House by skipping
consultation procedures with us. We did not even know that the
government had set up a team to negotiate financial aid with the
International Monetary Fund.

"Not until President Soeharto's announcement in a meeting with
the Indonesian Youth Committee in Surabaya a few days ago did we
find out that Singapore had offered US$10 billion in aid," Budi
complained.

He said the monetary woes that have prevailed in the country
since late July were a serious problem, but the government failed
to inform the House about how the recovery measures have
proceeded.

"On the one hand, President Soeharto has encouraged the need
for a better relationship among state top institutions to make
the House on par with the government.

"But on the other hand, the government has met with big banks
and the National Chamber of Commerce and Industry, and explained
safety plans to other institutions here and abroad, but not to
us," said Budi.

PPP secretary Bachtiar Chamsyah joined Budi in the criticism
saying that the government should have contacted the House
because the crisis affected the state budget.

"The House is assigned to control the implementation of the
state budget and development program. How can we function if we
don't know to what extent the monetary problem shakes our
economic foundations?" Bachtiar asked.

Both the PPP and PDI have demanded the House leadership ask
the government to explain its measures. The House decided
yesterday the government would deliver its explanation in a
hearing with Commission VIII on finance and state budget on Nov.
10.

Budi and Bachtiar said all the foreign aid commitments, which
could exceed $30 billion if the IMF agreed to lend $15 billion,
would be helpful to restore public trust in the rupiah. But they
said the economic adversity would not be solved that easily.

"The government must be extra careful and improve efficiency
and curb leakages while using the funds," Bachtiar said.

Budi warned the government of foreign debts which would soar
to $140 billion, saying that it could create a dangerous
situation to the country's economic well-being. (amd)

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