The enemy within?

The enemy within?

It may sound like a title from a movie but it rather
encompasses an issue which has been on everyone's mind: The
monetary crisis and the recent panic buying spree. According to
government officials, who give us various reassuring spoken
gestures, the situation is under control and there should be no
reason to worry.

I'm not denying that the government has been making an effort
but it seems to be inadequate to convince the business community
and the people. This is evident from the recent buying spree and
vicious rumors of food shortages. The authorities have not made
swift and concrete steps to address the current situation.

Reforms forwarded by the IMF should be studied carefully and
executed according to the demands of the Indonesian market. The
recommended closure of certain banks may have had its economic
benefits, but in psychological terms it has brewed public doubt
and worry, and for bank customers, panic.

These are the emotions that have been stirring within the
economic community as well as the people. Ever since the rupiah
started falling, a lot of people have been worried, and as the
situation has worsened, panic has set in. The people really need
some sort of direction and motivation apart from consoling. They
need to be shown the progress being made, the clear steps that
are being taken and, most of all, the efforts they can make to
help.

The "Love Rupiah" campaign initiated by Mbak Tutut is
certainly a positive step. But I am not convinced that any
businessman in his right mind would ever convert a substantial
amount of his wealth that is in U.S. dollars to rupiah if there
was no profit in doing so. From a superficial point of view,
changing dollars to rupiah would appear profitable, but in view
of the instability and inflation, I wouldn't rush. Indonesians
should be encouraged to buy homemade items and not rely on
imports. They should travel locally and promote exports.

I wonder how our forefathers, who sacrificed much for the
country's independence, would feel if they could see how the
current generation cannot overcome a situation that really
requires teamwork and cooperation between the government and the
people. The recent buying spree does show a certain amount of
distrust, but what surprised me most was that it was mostly the
middle and upper class who rushed to the stores. In a way, their
quality of education, patriotism and awareness should be
questioned since they are the product of good upbringing
according to Indonesian standards.

Another more disturbing fact concerning the crisis is that the
prices of all sorts of commodities have gone up. This will have
an impact on all levels of society. I fear that when the buying
power of the average person on the street is substantially
reduced, it could lead to a potential time bomb.

In a country where riots occur monthly on average, riots may
become even more frequent and widespread. I have the fullest
confidence that the government can overcome this inflation by
taking proper measures. I would recommend that a special
committee be set up to fix and monitor the prices of the nine
basic food items.

We should always bear in mind that it is the people who have
the power, therefore a hotline should be set up for the public to
voice any complaints.

RUBAN SIVANOLI

Yogyakarta