Indonesia determined to stamp on corruption

Press, 13 April 1988, Page 22

Indonesia determined to stamp on corruption

NZPA-Reuter Jakarta

Indonesia is matching steps to liberalise its protected and oil-dependent': economy with a drive to crack down on corruption, seeing economic , change as the greatest source of potential instability in the country. President Suharto, in a written address to In-' donesia’s 27 provincial governors, has renewed a pledge to go on with the. process of cutting back red-tape and easing regulations to make the economy more competitive.

In the latest measures, which started on April 1, the Government said it was scrapping a ' centralised Government tendering system and allowing Government officials to negotiate their own purchase contracts.

The Economy Minister, Radius Prawiro, said the measure would speed the procurement of goods and services required by the

Government and State companies. ‘ i i The new Cabinet announced by . President Suharto last month | is firmly committed to the lifting of protectionist panniers to make the economy of South-East Asia’s largest country more competitive internationally and less dependent on oil revenues. | | But this is being matched by an emphhsis on combatting widespread corruption within Ithe bureaucracy, which some senior officials believe js a big difficulty faced] by the economy of the giant equatorial archipelago, an important producer of oil, natural gas, rubber,: tin and coffee. j The National Assembly Speaker, -Kharis, Suhud, said in a speech aftef the] re-election of President Suharto for a fifth term, which will keep' him I in power until 1993, that! a top priority must pe the battle against cor-

ruption i and abuse of power, 'll. | , He] told reporters after the announcement] of the decentralised j system for Government tenders that he believed existing regulations itd tackle corruption were sufficient.! "The problem ;now is whether we are willing to enforce those i regulations;” he said.] ‘ ’ ] ■ The Government announced after a Ministerial meeting chaired by the new] Vice-President, Sudharmono, ] that a special Post] Office box was being set up for the public to provide information ] in secrecy about alleged corruption and othei" irregularities. At! the same time the Attorney-General, Sukarton Marmosudjono, and the national! police chief, General ] ] Muhammed Sanusi, met] to consider tougher punishments for those convicted of crimes that ] cause public unrest. They said these included

i II ' ' I I corruption, drug ! abuse, traffic] accidents, rape and adultery. 11l

The] Defence Minister, General Benny 1 Murdani, forecast that the main threat] to Indonesia civer the coming five years would be from internal disturbances sparked ] by the rapid pace of economic development. ] I . A serious problem that needed attention was] urban unemployment, which Indonesian analysts ] said was made worse ] as labourers left the countryside looking for' jobs in the cities. Three-quarters of Indonesia’s 172 million people still live in I the countryside. President Suharto said at the first meeting of the new Cabinet that priority would be given to tackling unemployment, providing better housing, schools and health facilities, and curbing the rapid growth in Indonesia’s population, rising by four million j a year. I