Soerjadi criticizes wealthy entrepreneurs

Soerjadi criticizes wealthy entrepreneurs

JAKARTA (JP): Governor Surjadi Soedirdja criticized wealthy
entrepreneurs yesterday for not being serious about fostering the
development of small businesses in the city.

Surjadi said that, while many entrepreneurs are involved in
the activities of a variety of organizations, they fail to
respond to calls of smaller enterprises for assistance.

"Our businessmen are very clever when it comes to creating
good concepts or establishing business associations aimed at
helping small entrepreneurs, but they are not so good on
implementation," the governor told a meeting between small
entrepreneurs and representatives of the banking sector and
state-owned companies.

Yesterday's meeting was attended by about 500 people from
small companies, large companies and the banking sector. The
purpose of the meeting was to increase cooperation between small
businesses and conglomerates.

Surjadi also expressed concern about the limited funding
provided by state-owned companies for the promotion of small
business development.

This year funds provided by state-owned companies for the
purpose have only reached about Rp 2.4 billion (US$1.09 million),
he said, adding that the money had been distributed to only 26
cooperatives and 331 small businesses.

"This amount is very small compared with the number of
cooperatives and small businesses who are badly in need of
assistance," he added.

According to data collected by the Central Bureau of
Statistics, there were 628,282 small businesses in Jakarta in
1992. About 525,500, or 83 percent of those, had a capitalization
of less than Rp 50 million; 97,962, or 15 percent, had a
capitalization of between Rp 50 million and Rp 500 million; and
the remaining 4,847, or 2 percent, had a capitalization of
between Rp 500 million and Rp 2 billion.

Surjadi said that the assistance of large companies is
important to help improve the competitiveness of the small
business. (yns)