U.S. businesses bide time on Indonesia

U.S. businesses bide time on Indonesia

JAKARTA (JP): Investors remain wary of making a commitment in
Indonesia amid widespread pockets of unrest, the chairman of the
U.S.-Indonesia Business Council said on Tuesday.

Speaking after meeting with President Abdurrahman Wahid on
Tuesday together with 30 U.S. other businesspeople, Michael
Gadbaw said one of the reasons he assembled a business mission to
the country was to break the ice on the issue of foreign
investment.

"One of the reasons we are here now is because we, the
international business community, has for quite some time been
waiting to see how the political situation evolves," Gadbaw said.

"The waiting period is not over yet."

Nevertheless, he was optimistic the government of President
Abdurrahman Wahid would be able to tackle the mounting problems
because "we feel the government enjoys broad support" from the
people.

"Even though the challenges are very great, yet the Indonesian
government is bringing a great deal of expertise and a great deal
of skills in joining together the consensus that it needs to
address the challenges."

The delegation of 60 businesspeople started its official
three-day visit on Tuesday. The businesspeople represent 30 U.S.
corporations, most of which have a presence in Indonesia.

After meeting the President, the U.S.-Indonesia Business
Committee and its Indonesian counterpart, the Indonesian Chamber
of Commerce and Industry's U.S. Committee, held a roundtable on
business partnerships.

Sofyan Wanandi of the Gemala Group, who accompanied the
American businesspeople in their meeting with the President, said
members of the delegation would continue to invest in Indonesia
because they were already familiar with its business environment.

"Because most of the 30 companies already have operations in
Indonesia, I think they would express their commitment again to
increase their investment in Indonesia," Sofyan said.

Gadbaw, who is also vice president of General Electric,
expressed both his and his fellow U.S. colleagues' commitment to
investing in Indonesia.

"We are here because we want to be part of Indonesia's growth
and economic development," he said.

Gadbaw said the U.S. businesspeople were interested in knowing
more about four issues, involving the financial system, corporate
debt, transparency and government policies.

"Our reaction is a very positive one. The Indonesian
government understands very well what our concerns are, and it is
in the process of finding an answer, a formula that works for
Indonesia," he said.

Among the companies represented in the mission are Enron Asia
Pacific, Amoseas Indonesia Inc., Mobil Oil, Exxon, ABB Alstom
Power, Bell Atlantic International Wireless, DaimlerChrysler,
Edison Mission Energy, BankBoston, Cigna International, Cargill,
Ford Motor Company, Oracle Corporation, United Technologies
Corp., Black & Veatch Corp., Parsons Asia Pacific and UPLIFT
International. (prb/rid)