Thursday, May 20, 2010

To make money, go Indonesia

There is a kind of theory which says a country's destiny can be read from the countenance of its head of state or government.

President Hu Jintao's auspicious look reflects China's continued prosperity; Barack Obama's bony cheeks signify the tortuous path America's economy takes; Gordon Brown's weathered look indicates that Britain is heading downhill, while Nicolas Sarkozy's sophistry is the manifestation of France's dwindling significance in this world.

I took special note of Indonesian President Susilo Bambang Yudhoyono when visited Kuala Lumpur lately.
Susilo sports a well built figure, a broad face with a straight nose, an energetic look that hardly reminds us any of the countless Indonesian workers walking around our streets.

When he stepped out of the aircraft, his eyes were fixed to the far front. He walked in steady gaits with his head lifted up, fully confident of himself and his country.

He, too, did not resemble his predecessors in whatever way.

Such a posture reflected the destiny of Indonesia.

It appeared to me that it was no easy task if we tried to take advantage of him, who came to KL to talk about bilateral issues.

Forget about RM350 monthly pay, Indon maids have to work 365 days a year.

Forget about getting locked in a tussle with our neighbour over the sovereignty of some unknown islet.
Susilo is no Habibie nor Megawati, and Indonesia is no longer the Indonesia we used to know.
A US military school graduate, Susilo is resting on a powerful support base in his country, which is the Big Brother in ASEAN, a G20 member, and an emerging BRIIC powerhouse.

The 1997 regional financial meltdown, the 1998 riot, 2002 Bali bombing, 2004 Indian Ocean tsunami made many think that Indonesia had gone to the dogs.

But having experienced the damned fate, this country is staging a decisive comeback.

Susilo has drafted a series of major strategies upon taking office as the vast archipelago's president: To liberate the country's immense economic potentials, to batter corruption and beef up national security.

While these objectives are simple, few have achieved them.

He has shown the results, especially in lifting the Indonesian economy.

A friend in oil palm industry told me Indonesia had long overtaken Malaysia as the world's top palm oil exporter. If we were thinking of making big money from the industry, Indonesia was where we should head to.
A friend from IT industry told me customers at Jakarta's electronic stores demanded nothing but the latest computer and handphone models, whatever the prices.

Malaysia is no longer the prime regional market for automobiles. Automakers from around the world have zeroed in their focus on setting up plants in Indonesia, which boasts massive potentials, for both domestic consumption or export.

Thanks to the regional crisis, Indonesia was on the brink of bankruptcy during the final says of Suharto. They took the loans from IMF, and became the laughing stock of our Dr Mahathir.

Today, Indonesia has settled all its debts with IMF, and its economy has emerged healthier hence. Malaysia, which swore not to kowtow to IMF, is still struggling with the restructuring of its economic structure and a sluggish growth, with its debt ratio far outpacing the giant neighbour.

Notably, Indonesia's racial reconciliation, along with its equitable policies has not only liberated its vast economic potentials, but also energised the society.

This is a critical lesson Malaysia can pick up from Indonesia. (By TAY TIAN YAN)

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