Weak rupiah

Weak rupiah

From Warta Kota

Since the New Order regime I have had the impression that
ministers are happy to raise prices. One reason they give for
price hikes is: "Prices haven't been hiked for a long time
although the rupiah has been weakening against the dollar."

Knowing the problems we face, our ministers should have tried
to improve things so that Indonesia's economy would be able to
compete in the international market. I mean to say that Indonesia
must be able to obtain strong foreign exchange earnings so that
the rupiah would be potent and not impotent as it is now.

One source of U.S. dollars is foreign trade. Unfortunately we
haven't mastered this field, as a result of which our foreign
exchange reserves are flowing to other countries. For example
foreign vessels are still heavily used in exporting and importing
commodities. Only 3 percent of the ships used in foreign trade
are Indonesian, whereas under UNCTAD's code of conduct it has
been agreed that the ratio between foreign ships and national
vessels should be 50-50.

The materialization of such an ideal composition is certainly
not an easy job. A fighting spirit in all of President
Abdurrahman Wahid's Cabinet ministers is required. Gus Dur's
Cabinet should also strive to reach our maritime potential. We
expect RI's ocean vessels to play a significant role in our
foreign trade. We must fight against the "maritime phobia
disease". With a five-year crash program, God willing,
Indonesia's maritime potential can be achieved.

MOELYONO

Jakarta