MPR endorses broad State Policy Guidelines

JAKARTA (JP): The People's Consultative Assembly endorsed yesterday the 1998/2003 broad State Policy Guidelines which many critics say fail to anticipate a likely deepening of the economic crises.

When presenting their final views in a plenary session, government factions in the Assembly -- Golkar, the Armed Forces (ABRI) and regional representatives -- approved the guidelines with optimistic comments.

The minority Indonesian Democratic Party (PDI) and United Development Party (PPP) meanwhile cautioned the next government about bumpy roads ahead because of the economic crisis.

The 1,000-seat Assembly dominated by the government's politicians also endorsed decrees on the provision of extra powers for the next president, the acceptance of President Soeharto's accountability speech, the presidential and vice- presidential elections and the Assembly's internal rules.

On the controversial decree giving the president extra powers, most factions only noted that the next president should be mindful of upholding citizens' rights and act in line with the state ideology Pancasila and the 1945 Constitution.

They said the President should report to the House of Representatives as soon as he (or she) had exercised the special authority given by the Assembly to safeguard development and the nation's unity.

Only PDI advised that the next president should use the extra power as the last resort in handling crises. It pointed out that the use of the special authority would tarnish Indonesia's image and scare off foreign investors.

Issues

The State Policy Guidelines, which consist of six chapters, cover a wide range of issues for the next government to address in the coming five-year term starting next month.

Critics say the guidelines were prepared before the economic crisis started last July and few adjustments have been made.

Drafted by the government-backed political grouping Golkar, the guidelines were made with a "spirit aimed at developing the nation's independence (from foreign forces)".

"Considering what the government has achieved over the past five years, the ABRI faction believes the guidelines are the best we all could produce," ABRI faction spokesman Gen. Dibyo Widodo said.

Like the 1993/1998 Guidelines, the new ones still put the emphasis on the economy as the prime mover of development. The Assembly requires the government to implement the policies with improved efficiency and greater public participation.

The ABRI faction underlined the need for reform and a restructuring of the economy in response to the impact of globalization on Indonesia.

The faction reiterated the need for the next government to promote political development but that the process should not be carried out in a drastic fashion as some interest groups had demanded.

The PPP and PDI stuck to their demands for clean governance, political and economic reforms that would lead to democracy and the abolition of monopolistic practices in business.

They stressed the need for the next government to abolish monopolies, nepotism and collusion and encourage healthy business competition.

"Monopolistic practices have proven unable to stop the economic crisis that's sweeping over Indonesia at present," PPP spokesman Abdul Aziz Imran Pattisahusiwa said.

"Conglomerate owners who enjoyed the monopolies (granted by the government) have become a burden on all people, including the poor," he added.

Saying that PPP was not anti-conglomerates, Abdul Aziz said the next government should encourage large businesses to establish partnerships with small businesses.

PDI warned that while it supported the government's policy to look to the International Monetary Fund to help solve the crisis, the faction warned that it should not sacrifice the interests of the common people.

"The deal should not undermine Indonesia's sovereignty and put the fate of future generations at stake by putting the debt burden on their shoulders," PDI spokesman Soedaryanto said.

Gunawan Sumodiningrat, a Golkar member of the Assembly's working committee, said the guidelines accommodated global challenges by acknowledging, among other things, the demand for a free market system, efficiency and equal distribution of "the cake of development".

He acknowledged the country had not been able to fully introduce a free-market economic system as many people still needed time to get accustomed to it. (pan/byg)