Wed, 21 Jan 1998

RI ponders reducing diplomatic missions

JAKARTA (JP): The Ministry of Foreign Affairs is studying the possibility of shutting down Indonesian diplomatic missions abroad.

For now, however, it is relying on streamlining measures such as reducing the number of diplomats sent overseas and recruitment levels and other efficiency measures to counter the monetary crisis.

Minister of Foreign Affairs Ali Alatas expressed hope yesterday that cutbacks would not have to include closing down Indonesian diplomatic missions.

"We'll have to see. We are conducting an overall study. What's important is that up to now no posts have been closed and there are no plans to close any," Alatas said when asked about it by journalists yesterday.

"Of course we'll have to look at developments later but hopefully it won't be necessary (to close missions abroad). But we obviously will streamline staff," he added during a "Love Rupiah" drive held at the ministry. Alatas exchanged US$1,000 into rupiah.

In the 1998/1999 draft budget presented to the House of Representatives earlier this month funds allocated to the Ministry of Foreign Affairs for routine expenditure increased to Rp 1.34 trillion from the previous year's Rp 961 billion.

But the budget for development expenses, for projects such as promotion and countering negative publicity about Indonesia abroad, shrunk to Rp 12.88 billion from the previous year's Rp 49 billion.

After the budget was presented, Alatas admitted that austerity measures were needed given the rupiah's continuing slide against the U.S. dollar, but maintained there were no plans to close any of the 111 representative offices abroad.

At the time he even said plans to open an embassy in Lima, Peru, and Doha, Qatar, would continue.

Alatas said yesterday that among the austerity measures "which have been, and will continue to be, taken" include being more selective over attending international conferences and letting officials go on trips.

The ministry's secretary-general, Abdul Irsan, said steps were already being taken to reduce the rotation of diplomats abroad.

"The (latest) rotation which is usually about 60 people has been reduced to 20, with 16 being pulled back home and four being sent abroad," Irsan explained.

The recruitment of new personnel was also reduced, he said, from an average of about 60 per year to 38.

About 600 Indonesian diplomats are currently posted abroad.

But Irsan maintained that despite the crisis, the ministry would continue to take steps to improve the quality of its human resources.

Commenting on the possibility of using national currencies in intra-ASEAN (Association of Southeast Asian Nations) trade, Alatas said he did not believe it would hamper trade if the U.S. dollar or British pound were not used.

He said ASEAN was determined to increase intra-trade volumes without using foreign currency.

"Experts are now studying a trade mechanism that does not use foreign currencies as, certainly, it would not pose constraints to our countries' trade," Alatas said.

"Using ASEAN currencies to trade would not cause us any losses," he added.

Visiting Malaysian Prime Minister Mahathir Mohamad and President Soeharto agreed here Saturday to increase trade volumes without using non-ASEAN currencies.

ASEAN groups Brunei, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam. (10/mds)