Indonesian Political, Business & Finance News

PM Bhutto to develop trade links

PM Bhutto to develop trade links

JAKARTA (JP): Pakistani Prime Minister Benazir Bhutto arrived in Jakarta yesterday at the start of a three-day state visit which is expected to focus on enhancing economic and trade relations between the two countries.

Bhutto is accompanied by her husband Asif Ali Zardari, five cabinet ministers and 80 business leaders from Pakistan to underscore the nature and importance of the visit. She flew in from Bandar Seri Begawan, Brunei, the first of the two Southeast Asian stops in her current overseas trip.

Most of the official business discussions, including her official talks with President Soeharto, are scheduled for today.

Other engagements include witnessing the signing of various official and business agreements, and a luncheon with the Indonesian Chamber of Commerce and Industry.

There is also a meeting planned with Megawati Soekarnoputri, the chairperson of the Indonesian Democratic Party and daughter of Indonesia's first president Sukarno. Bhutto, the daughter of murdered Pakistan prime minister Ali Bhutto, and Megawati's friendship goes back to the time when their fathers were in power in their respective countries.

Pakistani officials in Islamabad said earlier that Bhutto was expected to discuss business opportunities that the country has to offer following a series of liberalization measures.

Bhutto yesterday discussed business prospects with Siti Hardiyanti Rukmana (Tutut) and Hutomo Mandala Putra (Tommy), both children of President Soeharto and leaders of their own business conglomerates, at the State Guest House where she is staying.

"There are so many things that we can do. Why should they turn to countries outside Asia if they can find partners here?" Mrs. Rukmana said after the meeting.

The prime minister, she said, plans to invite Indonesian companies to Pakistan to invest in such areas as trading, sugar and palm oil plantations, and also toll road construction.

Tommy, who has been at the center of attention for the past week over his plan to start production of an all-Indonesian built car, said that the market prospects for his car in Pakistan are also good given the 120 million population.

"They appear to have the same problem as we have here in running their car industry. Their (foreign) principals prohibit them from exporting the cars overseas," he said.

On Wednesday, State Minister of Research and Technology B.J. Habibie announced that Pakistan International Airlines, the national flag carrier, is to sign a memorandum of understanding to purchase 15 N-250 planes. IPTN, the state-run aircraft industry which Habibie heads, is currently developing the plane.

But Bhutto's visit is not confined to business.

Yesterday, during a brief meeting she held with Soeharto, Bhutto conveyed Pakistan's wish to take part in the next Asia- Europe summit, whose inaugural meeting in Bangkok last week succeeded in bridging understanding between the two regions.

"The Prime Minister asked the President for his support for Pakistan's intention to take part in the forum," Minister/State Secretary Moerdiono said after the meeting, held immediately after the welcome laid out for her at the State Palace.

On Wednesday Bhutto also conveyed Pakistan's desire to establish formal dialog ties with the Association of Southeast Asian Nations (ASEAN) during her discussion with Brunei's leaders.

During a banquet hosted by Soeharto last night, the Indonesian leader said relations between the two countries go back to the late 1940s when Indonesia was fighting for independence and Pakistan was still part of British India.

"The Founding Father of Pakistan, Mohammad Ali Jinnah, gave strong support to the Indonesian independence struggle in those difficult years. He urged all Moslems in sub-continent Asia to respond positively to Indonesia's call for support."

As a result of his appeal, many Pakistanis in the British Indian Army who were sent to put down the independence struggle defected and joined the republican army.

"The people of Indonesia can never forget Pakistan's contribution and role in their independence struggle," Soeharto said.

Bhutto will cap her visit with a one-night stopover in Bali tonight before flying back to Pakistan. (emb)

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