RI needs to make changes or it might be left behind

RI needs to make changes or it might be left behind

Japanese Prime Minister Junichiro Koizumi has visited
Indonesia three times since Ambassador Yutaka Iimura became
Japan's envoy to Indonesia in May 2002. Amid preparations for
President Susilo Bambang Yudhoyono's visit to Japan this week,
the ambassador spoke with The Jakarta Post's Kornelius Purba
about developments in the past three years. The following is an
excerpt of their conversation:

Question: How do you see major issues in Indonesia over the
last three years?

Answer : There are several events or developments which
interest me deeply.

First, the development of democracy. Not long after I arrived
in Jakarta the 1945 Constitution had been amended; it was the
fourth amendment of the Constitution. And Indonesia decided to
have direct presidential elections. In 2004, you had a series of
elections, the legislative and presidential elections, which were
conducted peacefully and fairly.

Second, for me personally, the Aceh peace process is very
special in my heart and mind. In 2002, a COHA (Cessation of
Hostility Agreement) was agreed on between the government of
Indonesia and GAM (Free Aceh Movement), thanks to efforts by
Indonesian leaders, including the then coordinating minister for
political and security affairs Susilo Bambang Yudhoyono. And
Japan, together with the U.S., the European Union and the World
Bank, hosted the Tokyo Conference on Peace and Reconstruction of
Aceh.

We expressed our readiness to work for the peace process and
the reconstruction of Aceh. Unfortunately, this peace process
collapsed in 2003 and then a military emergency was declared
there.

Now the new government has revitalized the peace process.
Together with other countries we are trying to support the peace
process. My government representatives met with GAM leaders in
Stockholm, to encourage them, to tell them that the international
community emphasizes the importance of peace and the territorial
integrity of Indonesia. We do not support the independence of
Aceh and it is high (time) to engage in the peace process.

What are some of the other issues?

The third major event is the earthquake and tsunami in Aceh. I
have visited Aceh five times since the tsunami. I am really
shocked by the situation. The last time I visited Aceh was with
PM Koizumi. I was very impressed with the development there. On
the other hand, many things have to be done for the
reconstruction and rehabilitation of Aceh. As a country with
similar geological conditions, Japan, like Indonesia, often faces
earthquake and natural disasters so we have a great deal of
sympathy for Indonesia.

I have spent nearly 50 percent of my energy working with the
Indonesian government, not only on emergency work but also for
the reconstruction of Aceh.

And then the terrorist bombings in Bali, at the Marriot Hotel
and the Australian Embassy shocked me.

What is your opinion of Islam here?

Outsiders can have misunderstandings, and indeed do have
misunderstandings, regarding Islam in this country. They can
think that Islam in Indonesia is extreme, radical and supports
terrorists. But in fact moderate Islam is the majority religion
in this country. Islam here is moderate, healthy and
constructive, and is trying to modernize these elements. And your
government has efficiently investigated those bombings.

How about the country's economic problems?

This is very important for the ongoing process of development,
that is, the determination of your government to improve the
investment condition in this country. This is very important,
crucial for the future development of Indonesia. Unless Indonesia
achieves higher sustainable economic growth with private
investment, it is going to have to cope with losing its
competitiveness as an investment destination for foreign
companies. The government is determined to change.

Of course it is very difficult to deliver change, because it
covers various areas, but now we are moving forward. We have
established an investment forum between Japan and Indonesia, and
when the President goes to Japan he will be bringing strategic
actions for investment improvement.

Could you elaborate?

Giving the importance of private investment, we are now
working on improving this through the investment forum. We are
drafting an investment strategic plan, which covers basically
four areas: One is taxation and customs, the second is labor, the
third is infrastructure and the fourth is the international
competitiveness of SMEs (small and medium enterprises).

And we are listing 32 specific measures to be taken jointly by
Japan and Indonesia so that Japan can invest more, as Japanese
investors get better incentives to invest in this country. In
order to do this Indonesia needs to make changes, otherwise
Indonesia might be left behind by the global competition.

Regarding the East Asian Community, there are different
opinions among ASEAN members. What is your government's stance on
Indonesia's position that countries like Australia and New
Zealand, and not just the ASEAN + 3, should be included in the
new grouping?

Japan's position is very similar to the position of Indonesia.
East Asia community building, particularly with this summit to be
held in Kuala Lumpur, is very important for all countries in the
region. The question is not whether we accept this community
building or not, but what kind of community we want to see. And
in this sense, there were originally two schools of thoughts. One
was that we should only have the ASEAN+3 (ASEAN plus China, Japan
and South Korea) as members of this summit. The other school said
we should have a more inclusive community.

Japan, Indonesia and Singapore have been looking for this
inclusiveness from the beginning. And now there is an emerging
consensus that this community and summit should be inclusive.