Tanri Abeng launches book

Tanri Abeng launches book

JAKARTA (JP): Former state minister for state enterprises
Tanri Abeng (pictured above signing his book for a buyer) sees
the privatization of state companies as essential for fueling
economic recovery, not so much for the capital flowing in but
more because of the market confidence resulting from the process.

"Foreign capital flowing through the sales of state
enterprises is much more effective in building market confidence
in the country than funds derived from loans from the World Bank
or International Monetary Fund," Tanri noted on Saturday.

This was because capital coming in through privatization was
private investment driven by market forces, while loan funds from
multilateral institutions was based on a combination of political
and diplomatic considerations and the government's compliance
with the loan conditions, he added.

Tanri was speaking at the launching of his book entitled
Indonesia Inc. which chronicles his experiences in restructuring
more than 144 state companies between March, 1998 and October,
1999 under both the Soeharto and B.J. Habibie administrations.

The book, published by Time Academic Papers, tells of the
problems he encountered in pushing through the reform of state
companies amid the competing agendas of generating revenues for
the state budget and laying the foundations for a more efficient
and accountable public sector.

It also deals with the slippery path he trod in coping with
the vested interest groups who fought to maintain the state
companies as their cash cows.