Indonesian Political, Business & Finance News

RI, Germany pledge cooperation

| Source: JP

RI, Germany pledge cooperation
in fighting against terrorism

Fabiola Desy Unidjaja
The Jakarta Post
Jakarta

Indonesia and Germany have agreed to strengthen bilateral ties by
joining hands in the war on terrorism, as well as the protection
of investments here.

Speaking at a joint press briefing with German Chancellor
Gerhard Schroeder, President Megawati Soekarnoputri said on
Wednesday that the two leaders agreed to cooperate in sharing
intelligence information between their national police forces.

"We agreed that bilateral cooperation in fighting terrorism,
particularly in the sharing of intelligence information, would be
further developed," Megawati said.

Schroeder arrived here on Tuesday for a two-day visit aimed at
bolstering bilateral relations. He left for Hanoi on Wednesday.

National Police Chief Gen. Da'i Bachtiar said the two
countries would still discuss areas of cooperation as soon as
possible.

"It (the cooperation) will also include Germany's assistance
to improve our police capabilities," Da'i said.

Schroeder, on his part, praised the ongoing economic reforms
and promised to promote Indonesia's condition to the world.

"I clearly see that the Indonesian economy has started to
recover, however, the international community is not aware of
it," Schroeder, speaking in German, said in the joint press
briefing.

Megawati praised Schroeder for visiting the region despite the
outbreak of the Severe Acute Respiratory Syndrome (SARS).

She also thanked Germany for its continuous support for
Indonesia's territorial integrity. "We appreciate that Germany
continues to express a clear stance of not supporting separatist
movements here," the President said.

The two leaders also witnessed the signing of a memorandum of
understanding on the promotion and reciprocal protection of
investments between the German Minister for Economics and Labor
Wolfgang Clement and Indonesian Coordinating Minister for the
Economy Dorodjatun Kuntjoro-Jakti.

Under the agreement, both countries pledged to provide better
legal protection for foreign investors, including provisions on
obligations to compensate firms in cases of expropriation, a
transfer of guarantee for payments in connection with
investments, the right to international arbitration to settle
disputes and equal treatment of foreign and domestic investors.

Schroeder said Germany was looking forward to another
agreement for a power plant construction and building an inter-
island passenger liner here.

Schroeder was on a Southeast Asian tour that also took him to
Malaysia, Singapore and Vietnam. He left for Hanoi on Wednesday
evening.

Minister for Foreign Affairs Hassan Wirayuda said Wednesday
that the visit would revive relations between the two countries.

Schroeder is the first German chancellor to visit Indonesia
since the down fall of former president Soeharto in 1998.

Germany is Indonesia's seventh largest trading partner, with
annual trade standing at around 3.7 billion euros and direct
investment reaching up to 440 million euros.

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