RI needs business council to do some positive PR

RI needs business council to do some positive PR

By Endy M. Bayuni

HONOLULU, Hawaii (JP): The Indonesian business community must
do some public relations activities of its own to tell the world
of the real situation in the country, the secretary general of
the Pacific Basin Economic Council (PBEC) says.

Robert Lees, who leads the Honolulu-based organization of
business leaders from 20 countries, said Indonesia has had more
than its share of bad publicity from the international media.

Lees proposed the establishment of an organization similar to
the Singapore Economic Development Board (EDB) or Hong Kong Trade
Development Council (TDC), both of which had been highly
effective in presenting a positive image of their respective
countries to help woo foreign investors.

"It really disturbs me the way the international media has
treated Indonesia," he told The Jakarta Post from his downtown
Honolulu office overlooking the Aloha tower.

"You have had some bad PR (public relations)," he said, citing
as an example the news report about ExxonMobil's decision to shut
down its operation in a major gas field in Aceh.

"This could be turned around," he said, adding that the
Indonesian private business sector could help on this front.

The PBEC chief visited Jakarta and he met with Indonesian
government officials and business leaders last month.

"The idea for a council came up during a business lunch," he
said.

Most foreign investors have stayed away from Indonesia over
the last three years because of the seemingly endless crisis.

Indonesia's gross domestic product nevertheless grew at an
impressive 5 percent in 2000, compared to zero percent in 1999
and a contraction of 13 percent in 1998. Exports also reached an
annual record of $60 billion in 2000 on the back of a strong U.S.
economy and high world oil prices.

Many economic analysts, however, say the rapid growth is
unsustainable and predict a slowdown this year, or even another
recession if the political situation continues to deteriorate.

Lees said the international media had focused too much on
violence and political demonstrations in Indonesia.

"Life goes on in Indonesia, and business is not all that bad,"
he said.

The PBEC, which held its annual international general meeting
in Tokyo from April 6 through April 10, boasts more than 1,100
corporate members in 20 countries. Founded in 1967 by private
business sector leaders, the council has been lobbying for the
removal of trade barriers across the Asia Pacific region.

The PBEC was instrumental in the establishment of the Asia
Pacific Economic Cooperation (APEC) forum in 1993 and is involved
in the preparations for the annual APEC summit, which this year
will be held in the Chinese city of Shanghai in October.

The PBEC has also served as a forum for members to exchange
ideas and share information, and it was from here that Lees came
up with the idea for Indonesia to set up a council similar to
Singapore's EDB or Hong Kong's TDC.

He proposed that the local Indonesian committee of the PBEC
take the initiative.

The Indonesian committee is led by Haroen Al Rasjid, the chief
commissioner of PT Caltex Pacific Indonesia.

Its 20 members include CEOs from giant local corporations such
as PT Astra International, the Sahid Group and Texmaco, as well
as major foreign companies operating in the country like Arthur
Andersen, PT Freeport Indonesia and Jardine Matheson.

Lees discounted the role of the Indonesian Chamber of Commerce
and Industry (Kadin), which he said was more suited to the
promotion of small and medium enterprises and other domestic
issues.

"For the international piece, you need an Indonesian
development council or board, run by the private sector with
funding from both the private sector and the government," he
said.

"Its job will be to give a new face to Indonesia," he said,
adding that initially the council could set up small offices in
Singapore, Hong Kong, Tokyo, and Washington DC.

Besides providing information and statistics on Indonesia, the
council could arrange for Indonesian business ambassadors to
appear before the international media such as CNBC and CNN with
consistent messages to help rebuild international confidence in
Indonesia.

The PBEC would be only too happy to help set up such a
council, Lees said, adding that he also believed that Singapore's
EDB and Hong Kong's TDC would lend their hands because they too
had a stake in the economic stability of Indonesia and the
region.

Lees said that with a little more effort from the business
community, many investors would return to Indonesia, which
remains highly attractive given the sheer size of the market, the
abundant natural resources and the pool of skilled workers.

Asked about the deteriorating political situation in Indonesia
and the impact it has had on the economy, Lees said: "I take it
for granted that Indonesia will resolve them. You must.

"This is like a chicken-and-egg situation. The political
situation has to stabilize, but the economy must also recover at
the same time. For that, you need a strong business community
that is more outspoken."