ID :
32049
Tue, 11/25/2008 - 06:25
Auther :
Shortlink :
https://oananews.org//node/32049
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GOVT TO INTERVENE IN PREVENTING LAY-OFFS, MINISTER SAYS
Jakarta, Nov 24 (ANTARA) - The Indonesian government will intervene in business in an effort to prevent lay-offs resulting from the weakening global economy, finance minister Sri Mulyani said here on Monday.
"There is no need to discuss whether or not the government has to intervene because the government will certainly intevene," she said.
She said the government would see various risks that might arise based upon commodity sectors of the businessmen. "We will see which instruments are possible for the government to intervene effectively in a relatively short period of time," she said.
She said what was also important was how to diagnoze the problems to assure that decision on methods of internvention would be correct.
"The diagnose is important to determine the form of intervention, whether the intervention is in the form of a policy or should be done more actively in the form of a subsidy or in the form of various other excluse incentives that could help improve the condition of industries or finance of business players so that no lay-off will occur," she said.
When asked if the government would conduct a bailout she said there had been a regulation to deal with companies having difficulties. "So just look at the provisions in the law on state finance," she said.
The weakening economy in the US has affected other countries. The impact may become more real in early next year.
"There is no need to discuss whether or not the government has to intervene because the government will certainly intevene," she said.
She said the government would see various risks that might arise based upon commodity sectors of the businessmen. "We will see which instruments are possible for the government to intervene effectively in a relatively short period of time," she said.
She said what was also important was how to diagnoze the problems to assure that decision on methods of internvention would be correct.
"The diagnose is important to determine the form of intervention, whether the intervention is in the form of a policy or should be done more actively in the form of a subsidy or in the form of various other excluse incentives that could help improve the condition of industries or finance of business players so that no lay-off will occur," she said.
When asked if the government would conduct a bailout she said there had been a regulation to deal with companies having difficulties. "So just look at the provisions in the law on state finance," she said.
The weakening economy in the US has affected other countries. The impact may become more real in early next year.
