Indonesian Political, Business & Finance News

Tokyo's support for Jakarta to continue

| Source: DJ

Tokyo's support for Jakarta to continue

TOKYO (Dow Jones): Japan and Indonesia discussed new financial
aid from Tokyo to Jakarta in a meeting Tuesday but didn't talk in
terms of concrete numbers, officials who attended the meeting
said.

Indonesian Senior Economics Minister Ginandjar Kartasasmita,
speaking with a small group of reporters after meeting with
Japanese Finance Minister Hikaru Matsunaga, said he was told that
Tokyo support for Indonesia would continue despite the coming
change in Japan's government.

"We were reassured by that," Ginandjar said.

Asked if the subject of new financial aid from Japan was
discussed in the meeting, Ginandjar said, "Yes, in general."

He added that he expects to have "more detailed discussions"
when he meets with Vice Finance Minister for International
Affairs Eisuke Sakakibara later on the day.

A Ministry of Finance official briefing reporters on condition
of anonymity said Matsunaga and Ginandjar discussed new
assistance, "but no concrete numbers were brought up."

The official, who sat in on the meeting, also said that it
would "take some time" to cobble together supplemental assistance
to Jakarta. At the same time, he acknowledged that the
international community should move on the matter with alacrity.

Indonesia is seeking between $4 billion and $6 billion in
additional assistance from the international community.

Ginandjar, on a roadshow that took him to Washington last
week, has been trying to round up support for the new aid, which
likely would be arranged through multilateral channels under the
International Monetary Fund.

The finance ministry official said Matsunaga responded to
Ginandjar's request for new assistance by saying "Japan will
continue to provide support for Indonesia."

Before meeting with Matsunaga Tuesday, Ginandjar earlier met
with Minister for International Trade and Industry Mitsuo
Horiuchi and Taku Yamasaki, head of the ruling Liberal Democratic
Party's policy affairs research council.

"I also received assurances from them that they would continue
to support Indonesian reform efforts," Ginandjar said.

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