Chinese Ambassador: Maritime Links Key in Boosting Ties With Indonesia

Xie Feng speaks at length about his thoughts on President Joko Widodo, the historic treatment of ethnic Chinese, and the future of bilateral relations as both countries pursue parallel visions

Jakarta Globe, Nov 13, 2014

President Joko Widodo (left) walks with China’s President Xi Jinping after
 arriving to take part in the Asia-Pacific Economic Cooperation (APEC) leaders
 meeting at Yanqi Lake, north of Beijing on Tuesday. (AFP Photo/Greg Baker)

On the eve of President Joko Widodo’s departure for Beijing to attend this week’s APEC Summit and meet a number of world leaders, including China’s President Xi Jinping, the Chinese ambassador to Indonesia, Xie Feng, was interviewed by the Chinese newspaper Global Times.

In the interview, Ambassador Xie, who has been in the country since June, talked about his impression of Indonesia, his interaction with the new president, economic ties between China and Indonesia, and the correlation between Jokowi’s vision of a “maritime axis” and President Xi’s plan to build a “21st-centurty maritime silk road.”

With permission, the Jakarta Globe is republishing the interview, which first appeared on Nov. 6. It was edited for style only.

Global Times: Global media said that Mr. Joko Widodo won voters’ support because he’s a ‘People’s President.’ After your arrival in Jakarta, have you had any contact with him and what are your impressions about him?

Chinese Ambassador Xie Feng. (Photo
 courtesy of the Embassy of the People’s
 Republic of China)

Ambassador Xie: In less than a decade, Mr. Joko Widodo’s journey from being a furniture businessman to president is truly a political miracle in Indonesia and even worldwide. In my first week as ambassador, I had the honor of meeting with him briefly and was deeply impressed by his sincerity, easy-going style and kindness. After that I had two in-depth conversations with him and paid courtesy calls on him on several occasions with visiting Chinese delegations after he won the presidency. I believe President Joko Widodo is a firm, visionary, pro-people and down-to-earth leader, with a clear sense of purpose. His policy agenda has a lot in common with that of Chinese leaders. These include governance in the interest of people, pushing forward reform, developing economy, improving public well-being and fighting corruption. The Indonesian people have quite high expectations for him.

President Joko Widodo told me that he much values the face-to-face communications with the public. He believes such communications should happen day in and day out and this is the only way to understand what people need. That’s why he frequently visits traditional markets, rural villages and street food vendors to talk to and eat together with people. In the Javanese language, there is a specific word to describe his work style, blusukan. It means impromptu visit, which is akin to what we call “reach out to the grassroots.”

Global Times: What does President Joko Widodo’s trip to China mean to the APEC Summit and China-Indonesia relations?

Ambassador Xie: Indonesia was among the first countries to establish diplomatic relations with China. In 1950s, China, Indonesia and other Asian and African countries initiated the Bandung Spirit. At the heart of it is peaceful coexistence, seeking common ground and shelving differences. The Bandung Spirit remains a significant norm in state-to-state relations today. China today is Indonesia’s largest trading partner, its No. 1 source of overseas tourists and a major destination for Indonesian students. In October last year, President Xi Jinping paid a successful state visit to Indonesia. He and Indonesian leaders agreed to lift the China-Indonesia relationship to a comprehensive strategic partnership. This has laid a solid foundation and mapped out a blueprint for the long-run development of our bilateral relations. In 2014, Indonesia’s general elections year, our bilateral relations have had a smooth transition and got off to a good start. President Joko Widodo attaches great importance to China-Indonesia relations. He has chosen China for his first overseas visit after inauguration.

Indonesia was the birth place of APEC Bogor Goals. Last year, Indonesia hosted its second APEC Summit in 20 years, and raised three major topics including achieving the Bogor Goals, promoting sustainable and equitable growth and improving connectivity. China actively echoed and supported these ambitions. We look forward to closer coordination and cooperation with Indonesia for positive outcomes out of this year’s APEC Summit, including launching the process of the Asia Pacific Free Trade Area (FTAAP), promoting innovative development, economic reform and growth, and improving connectivity in the Asia-Pacific region.

Global Times: It’s almost five months since your arrival in Jakarta. Can you share with us some of your impressions about Indonesia?

Ambassador Xie: I’ve been deeply impressed by Indonesia in many ways.

First, Indonesia is a big country with rich resource endowment. Indonesia has around 250 million population. It is the world’s largest archipelagic state, with over 17,000 islands. It takes 9 hours to fly from its east to west. That’s roughly the distance between London and Tehran. Indonesia has abundant natural resources and is known as the Emerald of the Equator. My Indonesian friends often say with great pride that ‘please don’t ask what we have, just ask what we don’t have!’

Second, diversity and inclusiveness. Indonesia is the most populous Muslim country in the world, yet it’s also known for its ethnic and cultural diversity. We Chinese value ‘harmony but not uniformity.’ In the same vein, the Indonesian people believe in ‘unity in diversity.’

Meanwhile, Indonesia has around 20 million Chinese Indonesians, that’s the largest ethnic Chinese community outside China. Over the past hundreds of years, generations of Chinese migrants sailed to Indonesia. They settled down and took root in this country. They survived the tribulations yet always worked hard to pursue a better life. Today, many of them have built a successful career and become social elites. They have made major contribution to Indonesia’s economic, social development and cultural prosperity, and have acted as a unique bridge in promoting China-Indonesia friendly exchanges and cooperation. Since 1998, successive Indonesian governments have made active efforts to improve the social status of Chinese Indonesians and promote ethnic harmony. In 2000, President Abdurrahman Wahid lifted the ban on Chinese culture and customs. In 2002, President Megawati Soekarnoputri announced the Chinese Spring Festival as a public holiday in Indonesia. In 2006, the Indonesian House of Representatives (DPR) passed a new law on citizenship, annulling the previous legal distinction between native and non-native Indonesians. It marked an end to many discriminatory policies against Chinese Indonesians. In March this year, President Susilo Bambang Yudhoyono repealed the discriminatory term for the Chinese Indonesians through legislation and adopted ‘Tiongkok’ and ‘Tionghoa’ to refer to China and Chinese Indonesians respectively. This past August, Indonesia’s first Museum on Hakka history and culture was completed. President Susilo Bambang Yudhoyono and I attended the opening ceremony. In his remarks, President Susilo Bambang Yudhoyono spoke highly of the Chinese Indonesians’ outstanding contribution to Indonesia’s independence, development and progress.

Third, goodwill and kindness. The Indonesian people are warm, hospitable and are always ready to help others. Their happiness index is quite high.

Fourth, great potential. Indonesia’s population, landmass and GDP are all over 40 percent of the 10 Association of Southeast Asian Nations member states combined. It’s the only Southeast Asian member of the G20 and is the 16th-largest economy around the world.

Global Times: China is Indonesia’s largest trading partner. Where is the growth point for the bilateral commercial cooperation in the future?

Ambassador Xie: China and Indonesia are both major emerging markets and developing countries. Our economies are highly complimentary and the cooperation potential is huge. Two-way investment will be a bright spot in our business cooperation in the years ahead. And infrastructure is expected to be a new growth driver in this regard. My Indonesian friends told me that the cargo freight from Papua to Jakarta is three times the cost of shipping the cargo from Shanghai to Jakarta. Nearly 50 million population in Indonesia have no access to electricity. Infrastructure is a major bottleneck holding back Indonesia’s economic growth. The Indonesian new government is implementing the ‘ocean highway’ strategy, and planning to build 2,000 kilometers of road, 10 new airports, 10 new sea ports and 10 industrial parks. The purpose is to promote air, land and sea connectivity, and improve energy, telecommunications and transport infrastructure. In my recent meetings with Indonesian leaders, responsible officials of economic departments and entrepreneurs, I could feel their strong desire to enhance cooperation with China.

Global Times: President Joko Widodo vows to develop marine economy and turn Indonesia into a global maritime axis. What’s the purpose of this strategy? What does it mean to China-Indonesia relations?

Ambassador Xie: Indonesia sits between the Pacific and Indian Oceans and connects Asia and Oceania. It controls a number of strategic chokepoints, such as the Malacca Straits, the Lombok Strait and the Sunda Strait. In history, Indonesia was a major hub in the maritime silk road, with a rich legacy of friendly exchanges between our two countries. The city of Semarang has been named after the well-known Chinese navigator Admiral Zheng He. It retains much heritage of Zheng He’s voyages to the Western Seas in the 15th century.

In his inauguration speech, President Joko Widodo called for building Indonesia into a maritime power. This policy agenda focuses on raising maritime awareness, building ocean highways, promoting maritime connectivity, developing marine economy, upholding maritime security and conducting maritime diplomacy. And the Coordinating Ministry of Maritime Affairs has been established. In his visit to Indonesia in October last year, President Xi Jinping announced the strategic initiative of building a “21st century maritime silk road.” This is to develop a ‘silk road’ spirit of peace, friendship, openness, inclusiveness and win-win cooperation among China, Indonesia and other coastal countries of the maritime silk road. The purpose is to promote policy communication, transport connectivity, trade relations, monetary circulation and understanding between the people, and build a community of common destinies. This shows the strategic visions of Chinese and Indonesian leaders complement each other. Maritime cooperation will become a ‘blue bond’ connecting our two countries’ development strategies. It is expected to be a new highlight and a new driver for strengthening the comprehensive strategic partnership and deepening the practical cooperation between our two countries.

Russian President Vladimir Putin walks past US President Barack Obama

as Indonesian President Joko Widodo and his wife Iriana and other world leaders

and their spouses get into position for a family photo before a banquet in Beijing

on Nov. 10, 2014. (EPA Photo/Sergei Ilnitsky)

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We Are Waiting for You to Invest in Indonesia, Jokowi Tells APEC in Speech

Jakarta Globe, Nov 11, 2014

President Joko Widodo delivers a speech at the APEC CEO Summit as part of the
 Asia-Pacific Economic Cooperation Summit at the China National Convention
Center in Beijing on Nov. 10, 2014. (AFP Photo/Pool/Andy Wong)

Jakarta. Indonesian President Joko Widodo addressed business leaders at the Asia-Pacific Economic Cooperation CEO summit in Beijing on Monday, where he put out a call for greater investment in the archipelago and promised a friendlier climate for doing business in the country.

The following is his speech:

Excellencies, distinguished guests, ladies and gentlemen and CEOs.

First, on behalf of Indonesian government and the people of Indonesia I would like to thank you for coming to my presentation. Today I am very happy to be among with you because you know I was a businessman years ago. So this morning I am very happy because we can talk about business, about investment with all of you.

This picture shows you our map of Indonesia. We have a population of 240 million and the distance is like from London in the UK to Istanbul in Turkey. And imagine, we have 17,000 islands.

Our national budget in 2015 is $167 billion and the fuel subsidy [allocation] is $27 billion. It’s huge. So we want to channel our fuel subsidy from consumption to productive activities. We want to channel [the money] to farmers for seed, for fertilizers, and also for irrigation. And we want to build dams — 25 dams in five years from our fuel subsidy to maintain the water supply to farming areas.

Some subsidy [funds] we want to channel to fishermen, to give them boat engines [and] refrigerators. We want to increase the income of the fishermen. Some fuel subsidy [funds] we want to [give to] micro and small enterprises in the villages. We want to help them raise working capital. And some subsidy [funds] we want to channel to the health program [and] the education program. And the subsidy [funds] we [also] want to channel to infrastructure.

In five years we want to build 24 seaports and deep seaports. We have 17,000 islands, so we need seaports and deep seaports. And this is your opportunity: 24 seaports and deep seaports.

This picture shows our Jakarta port, Tanjung Priok Port. In 2009, the capacity was 3.6 million TEUs a year. And our plan in 2017 is around 15 million TEUs a year. This is the potential [for] ports in Indonesia. This is your opportunity. We want to build in Sumatra, Kalimantan, Java, Sulawesi, Maluku, also in Papua. And we plan to build our [railway network]. We already [have railway lines] in Java and we want to build in Sumatra, Kalimantan, Sulawesi and Papua. This is your opportunity.

Now we talk about mass transportation. We want to build mass transportation in six big cities in Indonesia. We started in Jakarta last year, and we want to build in Medan, Makassar, Semarang, Bandung [and] Surabaya. So, this is also your opportunity. Because you know our national budget is limited.

Now we [will] talk [about] our maritime agenda. We want to build [a] sea toll. What is [a] sea toll? [A] Sea toll is [a] maritime transportation system to make our transportation costs lower [and] more efficient. We want to build from the west to the east. We hope not only the vessels can enter our sea toll but also mother vessels can enter the sea toll. So the price, the cost of the transportation, [becomes] more efficient.

For example, the price of [...] one sack [of] cement in Java is $6 [...] But in Papua the price is $150 [...] Imagine, 25 times [as much]. So we hope with our sea toll the price in our islands [will be] the same.

Electricity. We need power plants. We need around 35,000 [megawatts] to build our industries, projects, industrial zones, [manufacturing] zones. So we need power plants. This is also your opportunity to invest in this project. Because we need our power plants for manufacturing, for industrial zones.

Many investors, a lot of investors, when they come to me most of them [...] always complain about land acquisition. I will push my ministers, my governors, my mayors to help clear this problem. I have experience with land acquisition when I was a governor. We [had the] Jakarta Outer Ring Road [project that] started 15 years ago but stopped eight years ago, because we had a problem. One point five kilometers [was] unfinished because there [were] 143 families [who did] not accept [...] the compensation price. So last year I invited them [...] to lunch and dinner. Four times. Ah, this is me. I invited them and then we talked about the problem. Four times. And the problem [was] cleared.

And now the toll road has been [in use since] seven months ago.

Now [let’s] talk business permits. We have a national one-stop service office that can help you, that will serve you, that will facilitate you, that will give you your business permit. For example, [a] principle business permit [will take] three days to process.

Finally, again on behalf of the Indonesian government and the people of Indonesia I would like to thank you for your listening my presentation. We are waiting for you to come to Indonesia. We are waiting for you to invest in Indonesia. Thank you.

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Asia-Pacific ministers pledge to step up graft fight

Yahoo – AFP, 8 Nov 2014

Visitors walk past a sign promoting the Asia-Pacific Economic Cooperation

(APEC) summit in Beijing on November 8, 2104 (AFP Photo/Wang Zhao)

Beijing (AFP) - China secured backing from Asia-Pacific ministers Saturday to deepen anti-graft efforts, in a move that dovetails with a high-profile Communist Party "fox hunt" for corrupt officials who have fled abroad.

The anti-corruption proposal is said to have been pushed by China and backed by the United States at the Asia-Pacific Economic Cooperation (APEC) gathering in Beijing, which culminates in a two-day summit of leaders from 21 member-economies starting Monday.

China's President Xi Jinping speaks to 

other leaders at a meeting on the

 sidelines of the Asia-Pacific Economic

 Cooperation (APEC) Summit in Beijing

 on November 8, 2014 (AFP Photo/Kim

Kyung-Hoon)

US Secretary of State John Kerry hailed the moved as a "major step forward" in combatting graft.

"Corruption not only creates an unfair playing field, it not only distorts economic relationships, but corruption also steals from the people of every country the belief that the system can work for everybody," he told reporters in Beijing.

But it remained unclear how effective the move would be, amid apprehension in some countries over returning suspects to China due to fears they could be subject to abuse and denied legal due process.

China in July launched its so-called "Fox Hunt" -- a campaign to bring back corrupt officials or their family members who have moved abroad, taking ill-gotten gains with them.

Since taking office last year, President Xi Jinping has made the graft fight a central theme of his administration as public anger swells over widespread corruption.

A report attributed to China's central bank and leaked three years ago said that as many as 18,000 corrupt officials had left the country between the 1990s and 2008, taking as much as $123 billion with them.

'Deny safe haven'

In a statement, APEC ministers pledged to step up nascent anti-corruption efforts with a regional commitment to "deny safe haven to those engaged in corruption, including through extradition".

Regional leaders gather in Beijing on November 8, 2014 for the Asia-Pacific 

Economic Cooperation (APEC) Summit in the Chinese capital (AFP Photo/

Kim Kyung-Hoon)

But they stressed that such moves would be "subject to domestic laws and policies" and needed to be carried out "in accordance with fundamental legal principles of each economy".

"We, APEC member economies, recognise that corruption impedes economic sustainability and development, threatens social security and fairness, undermines the rule of law, and erodes government accountability, as well as public trust," the statement said.

It pledged to establish an office for the day-to-day running of the APEC Network of Anti-Corruption Authorities and Law Enforcement Agencies (ACT-NET), a body coordinating anti-corruption efforts that was launched by Chinese and US officials in August.

The office will "assist in detecting, investigating and prosecuting corruption, bribery, money laundering, and illicit trade" and seek cooperation on tracking cases across borders.

China has recently announced stepped-up efforts to extradite former officials suspected of corruption from countries including Australia, New Zealand and Canada.

China's President Xi Jinping (C) speaks to

 other leaders attending the Dialogue On 

Strengthening Connectivity Partnership in

 Beijing on November 8, 2014 (AFP Photo/

Kim Kyung-Hoon)

Australian police said last month that they would work with their Chinese counterparts to track down and seize illegal assets, but foreign concerns over the country's legal system linger.

Anti-corruption efforts with the ruling Communist Party are carried out by an internal body which operates without any legal oversight, and there is concern that the crackdown may be used for political faction-fighting.

APEC Secretariat Executive Director Alan Bollard said Thursday the proposal had been championed by China and the United States.

Bollard said any anti-corruption effort "needs to happen within the different laws and legal structures" of APEC members, but the statement did not spell out how this would work.

"Corruption impedes economic sustainability and development, threatens social security and fairness," the ministers added.

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APEC opens two-day summit in Bali

Deutsche Welle, 7 October 2013

Leaders from Asia-Pacific nations and territories have gathered on the Indonesian island of Bali to attend the APEC summit . Notable by his absence is US President Barack Obama.

 Indonesia's President Susilo Bambang Yudhoyono delivers his speech during
 the opening of the Asia-Pacific Economic Cooperation (APEC) CEO Summit in
 Nusa Dua, Indonesia resort island of Bali October 6, 2013. REUTERS/Beawiharta

The leaders from the 21 members of the Asia-Pacific Economic Cooperation (APEC) were expected to discuss reducing trade and investment barriers and speeding up regional economic integration and infrastructure development.

Opening the summit, which is taking place under high security, Indonesian President Susilo Bambang Yudhoyono on Monday called for closer cooperation in the region.

"We all feel the pain of the crisis," Yudhoyono said. "It is therefore important to develop closer cooperation towards accelerating economic growth and global recovery."

Among the leaders attending are Chinese President Xi Jinping, Japanese Prime Minister Shinzo Abe and new Australian Prime Minister Tony Abbott. Russian President Vladimir Putin was expected to arrive on Monday

Obama cancellation

However, US President Barack Obama, who had hoped to use the summit to iron out issues regarding the free-trade pact he is promoting, the Trans-Pacific Partnership (TPP), cancelled his attendance at the summit because of the current US government shutdown over a Congress budget row. He is being represented at the summit by Secretary of State John Kerry.

Despite Obama's absence, twelve APEC members were expected to continue work on the pact, which the US president sees as underlining a US "pivot" towards Asia as a counterbalance to China's increased influence in the region.

The twelve members involved in the TPP talks on the sidelines of the APEC meeting are the United States, Australia, New Zealand, Japan, Singapore, Malaysia, Brunei, Vietnam, Chile, Canada, Mexico and Peru.

US Secretary of Commerce Penny Pritzker told reporters in Bali on Sunday that delegates had reached agreement on several thorny issues in the proposed pact. The US hopes to secure a deal on the TPP by the end of the year.

In addition to the countries listed above, other APEC members include China, Hong Kong, Indonesia, South Korea, Papua New Guinea, the Philippines, Russia, Chinese Taipei and Thailand.

tj/hc (dpa, AFP, AP)

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Foxconn Technology to Launch Indonesia Handset Operation in 2014

Jakarta Globe, Francezka Nangoy, October 7, 2013

Workers are seen inside a Foxconn factory in the township of Longhua in the
southern Guangdong province May 26, 2010. (Reuters Photo/Bobby Yip)

Nusa Dua. Taiwan electronics giant Foxconn Technology Group will conclude negotiations and establish a local subsidiary for its first Indonesian plant next year, the company announced on Monday.

The company, makers of Apple’s popular iPhone, first announced plans for an Indonesian factory in 2012. Foxconn then spent 18 months in negotiations with the Indonesian government and potential partners as it prepared to establish a local venture. Those negotiations are almost complete, Foxconn officials  told journalists at the Asia Pacific Economic Cooperation summit in Nusa Dua, Bali.

“In 2014 the company would have been registered and the negotiations will be done,” spokesman Simon Hsing said. “In 2014, you will see Foxconn coming.”

Chairman and CEO Terry Gou declined to name a local partner or specify the value of the project, saying only that the factory will be a “major investment,” in Indonesia and will likely include multiple domestic partners.

Erajaya Swasembada, a local handset distributor and manufacturer, has said it approached by Foxconn for a potential partnership. Djarum Group and property developer Agung Sedayu Group have also said they were in talks with the electronics company.

Foxconn declined to comment on the rumors.

“All I can say is that everyone is possible as long as they are qualified,” Hsing said.

The factory will use Indonesian-produced steel and tin and plans to make more than handsets, company officials said. It plans to establish a domestic supply chain for the products.

“We want to make sure that the infrastructure is here,” Gou said. “We came here not just to manufacture. We are making an entire supply chain in Indonesia.”

Gou and company said they planned to travel to Jakarta after the announcement.

“This is actually the reason I came [to APEC],” he said. “It is my first APEC [summit]. After APEC I will travel to Jakarta to meet our partners and also to talk to the government.”

Indonesia and China Agree to Further Boost Cooperation

Jakarta Globe, Ezra Sihite, October 3, 2013

Indonesian president Susilo Bambang Yudhoyono, second from right, and
 Chinese President Xi Jinping — accompanied by their wives — shake hands
 during their meeting at the Presidential Palace in Jakarta on Wednesday.
(AFP Photo/Bay Ismoyo)

Indonesia and China have agreed to boost cooperation in various sectors as President Susilo Bambang Yudhoyono and China’s President Xi Jinping held a talk on Wednesday in a meeting seen as crucial for enhancement of regional cooperation.

Analysts said that while efforts to enhance trade and investment dominated the talks, Xi’s decision to pick Indonesia as his first destination in Southeast Asia in the middle of many regional problems would boost Indonesia’s standing as a key country China would turn to when it has initiatives for the region.

In a joint press conference after the meeting, Xi said China has strong intentions to make its relations with Indonesia more comprehensive.

“China has agreed, together with Indonesia, to push our cooperation to a new direction which can bring prosperity to people of both countries,” he said.

As a signal of enhanced partnership, Xi said China would build a cultural center in Jakarta, and a consulate office in Bali. He also proposed the establishment of an Asian investment and infrastructure bank — which would allow nations to access funds for projects — in an effort to build interconnection and economic integration across the region.

For his part, Yudhoyono said both countries agreed to broaden their strategic partnership signed in 2005. “I believe that under President Xi’s leadership, Indonesia and China can achieve a new high in friendship and cooperation,” Yudhoyono said.

He said both countries vowed to continue boosting the current $51 billion dollar trade to $80 billion by 2015.

China is Indonesia’s largest trading partner but despite this, China’s investment in the country last year was only $2.2 billion.

Coordinating Minister for the Economy Hatta Rajasa said Chinese companies have agreed to invest $20 billion dollar in Indonesia’s mineral and gas sectors.

“Several of China’s companies have agreed to invest in Indonesia,” he said.

Yudhoyono and Xi also witnessed the signing of six agreements, including an economic cooperation agreement for the next five years, on integrated industrial park, maritime and fisheries, economic creative and space exploration.

Beside discussing economic cooperation, both leaders also discussed regional and global issues that become common concerns for both countries, including cooperation in the Asia-Pacific Economic Cooperation and on the South China Sea.

Indonesian Defense University expert Bantarto Bandoro said China could fill the space left by the United States, which could be too preoccupied by domestic concerns. US President Barack Obama’s trip to Asia next week — which includes the APEC meeting in Bali — might be curtailed because of the government shutdown.

“If Obama decides not to attend APEC in Bali, then China could steal the show,” he said.

Aleksius Jemadu, dean of Pelita Harapan University’s School of Social and Political Sciences, said China highly values its relations with Indonesia and investment as well as other concrete efforts, such as boosting trade and building infrastructure to get closer with Indonesia.

“By the end of the day, it is how Indonesians feel about how the country has helped them,” he said.

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Jakarta Globe, May 10, 2011

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Fighting corruption is not just a moral imperative but also a democratic, political, social, and economic obligation, President Susilo Bambang Yudhoyono says.

Yudhoyono made the statement in his opening address at the International Conference on Foreign Bribery in Business Transactions 2011 in Bali on Tuesday.

Present in the conference were Corruption Eradication Commission (KPK) officials and representatives of law enforcement and corruption eradication from the G-20, OECD, APEC and Asian Development Bank, as well as national and foreign observers.

“This gathering is truly a corrupter's worst nightmare! Thank you for taking part in this very important conference, to talk about combating bribery in international business transactions,” Yudhoyono said, adding that fighting graft had been a cornerstone of his administration.

Commenting on bribery cases, the president said the money spent on bribes meant the money was not used to improve roads, schools and hospitals.

“By turning a blind eye to a bribe here and a bribe there, we are compromising the quality of life for ourselves, our parents, our children. We all pay the price. Ultimately, bribery robs all of us of true progress and economic growth,” Yudhoyono said.

He said that even today, systemic corruption continued, and in developing countries, it did so by taking advantage of the global financial network.

The corrupt exploit the international financial network, covering their tracks in foreign jurisdictions, he said, adding that as long as these “safe havens” existed, people would continue to siphon money and send it overseas, he said.

“We cannot keep on supporting this endemic problem,” the president said, adding that the World Bank estimated that bribery accounted for some 3 per cent of the world’s economy, or more than $1 trillion dollars.

He said bribery was prevalent in tax evasion efforts, and it was also rife in the investment sector, particularly foreign investment.

But Yudhoyono said law enforcement agencies were not keeping idle for some 150 companies and individuals, in more than 10 countries have been charged with bribery and duly punished.

“Today, some 250 cases remain under investigation. Yet, these efforts have not been enough.”

Antara

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SBY Orders Paspampres to Prepare for Heavier Duties

Kompas, Jumat, 22 Januari 2010 | 15:19 WIB

JAKARTA, KOMPAS.com - President Susilo Bambang Yudhoyono has asked the Presidential Security Guards Force (Paspampres) to always be in a state of preparedness to face ever heavier challenges in the days ahead. "There are at least four challenges the Paspampres will face in the next five years," the head of state said in his directives to all Paspamres members at the force’s headquarters here in Friday.

Presidential Security Guards Force personnels form a lineup at the State Palace, Jakarta, KOMPAS/SUHARTONO

The president said his activities in serving the state and nation would increase in the next five years. "The next five years will be my last term in office and therefore I will be more active in carrying out my duties in serving the state and nation, both at home and abroad," the president said.

Yudhoyono added that in the coming years many international events would be organized in Indonesia, namely an Asean summit in 2012 and an APEC summit in 2013. He said many heads of state and government would attend the Asean and APEC summits in Indonesia.

"In addition, the Papampres should increase its alertness because the threat of terrorism against me, such as the character assassination planned by certain elements a few months ago, has not abated," he said.

Therefore, the president said, Paspampres should continue to update its armament systems. "I do not want Paspampres’ armament systems to be less sophisticated than those of its counterparts in other countries or those of terrorists," the head of state said.

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Chinese State Councilor pays courtesy call to Yudhoyono

Erwida Maulia, The Jakarta Post, Jakarta | Fri, 01/22/2010 10:07 PM

Chinese State Councilor Dai Bingguo paid a courtesy call Friday to Indonesia’s President Susilo Bambang Yudhoyono, during which they talked about various issues regarding the bilateral relationship between China and Indonesia.

Presidential spokesman Dino Patti Djalal said Dai regularly met with his Indonesian counterpart, this time with the Coordinating Political, Legal and Security Affairs Minister Djoko Suyanto.

Dino said such meetings had been conducted since Yudhoyono served as the chief political minister in the early 2000s.

This is a mechanism of consultation at the political, legal and security affairs minister level, which has been taking place annually,” Dino addressed a press conference after Bingguo’s meeting with Yudhoyono at the Presidential Office.

The Indonesian President, Dino said, expressed his satisfaction of the strategic partnership between Indonesia and China, signed in 2005.

“The President said that this bilateral consultation mechanism should be improved and undertaken more frequently not only formally but also informally,” he said.

“And the President emphasized that the cooperation between Indonesia and China should also be applied at regional and global forums, such as at the APEC, ASEAN-Chine, and G-20 forums.”

Obama meets Yudhoyono to improve ties

Abdul Khalik, The Jakarta Post, Singapore | Sun, 11/15/2009 10:05 PM

President Obama meets with President Yudhoyono of Indonesia (ANP)

US President Barack Obama met with President Susilo Bambang Yudhoyono on the sidelines of the Asia Pacific Economic Cooperation (APEC) summit in Singapore on Sunday to boost bilateral ties.

Obama said that bilateral relations would be enhanced with the completion of a comprehensive partnership agreement that would cover a wide range of areas like education, working on clean energy issues, expanding the Peace Corps' presence in Indonesia and counterterrorism issues.

"As many of you know, I have some historic ties to Indonesia, but I am also extraordinarily impressed with the progress that Indonesia has made in developing its democracy," Obama said after the meeting.

"Indonesia is not only regionally important, but as a member of the G20, as one of the world's largest democracies, as one of the world's largest Islamic nations, it has enormous influence and really is, I think, a potential model for the kind of development strategies, democracy strategies, as well as interfaith strategies that are going to be so important moving forward," he added.

Yudhoyono, meanwhile, said that both leaders were committed to elevating bilateral relation at "higher level" through the comprehensive partnerships.

"I welcome also the future cooperation between Indonesia and the United States in various fields such as trade and investment, education and technology, climate change, food and energy security, countering communicable diseases and also counterterrorism and people-to-people contact," he said.

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APEC leaders call for new growth strategies

Google/AP, By JEAN H. LEE (AP)

U.S. President Barack Obama, third right, poses with fellow APEC leaders for a group photo at the Gala Dinner at the APEC Summit in Singapore, Saturday, Nov. 14, 2009. Pictured with Obama from left, Philippine President Gloria Macapagal Arroyo, Japan's Prime Minister Yukio Hatoyama, Indonesian President Susilo Bambang Yudhoyono , Singapore's Prime Minister Lee Hsien Loong and China's President Hu Jintao. (AP Photo/Takashi Ozaki, Pool)

SINGAPORE — Stimulus spending and other strong actions have set the stage for global economic recovery, but nations must push ahead with free trade and investment to ensure growth, President Barack Obama and fellow Asia-Pacific leaders said Sunday.

Obama and 20 other leaders, meeting in Singapore for the annual Asia-Pacific Economic Cooperation forum, rejected all forms of protectionism and agreed on the need for a long-term growth strategy that takes into account the diverse needs of economies in a region stretching from Chile to China.

Recovery is not yet on solid footing and the region cannot go back to "growth as usual," Singapore Prime Minister Lee Hsien Loong said, reading from a joint statement by the APEC leaders.

"We need a fresh growth paradigm. We need a fresh model of economic integration," they said.

To that end, APEC members pledged to maintain their economic stimulus policies until a durable economic recovery has clearly taken hold. "We will pursue growth which is balanced, inclusive and sustainable to ensure a durable recovery that will create jobs and benefit our people," they said.

Nations must work toward "strong, sustainable and balanced global economic growth" in the post-crisis period with policies that expand opportunities for all sectors of society, including women and small business owners; take better care of the environment; and promote development while reducing poverty and ensuring security, they said.

There was no mention of currency rates in the final statement, despite finance ministers' calls for maintaining "market-oriented exchange rates." That was a reference to the Chinese currency, the yuan, which is kept artificially undervalued, making other currencies less competitive.

An earlier push for concrete goals for reductions of greenhouse gas emissions was cut out of the statement. A previous draft had pledged a 50 percent reduction from 1990 levels by 2050, but the final statement committed only to working toward "an ambitious outcome" at climate talks in Copenhagen, Denmark, next month.

APEC, which accounts for 40 percent of the world's population and 54 percent of global output, was created 20 years ago to promote greater trade and integration among Pacific Rim nations. Pledges are nonbinding, and the forum's scope has expanded to encompass issues such as climate change, energy and food security, and politics.

One key APEC goal is the creation of a free-trade area covering all 21 APEC economies — an ambitious undertaking that many acknowledge is years down the road.

There have been concerns that the U.S., the world's biggest economy, and other nations might turn inward as they grapple with the worst global financial crisis in decades.

But Obama and others reinforced calls for expansion of free trade rather than resorting to protectionist measures, and pushed hard for progress on talks to liberalize world trade.

They supported studies on the benefits of a future Asia-Pacific free trade area and pathways to realizing the broad pact.

It could take 10 or 15 years for a region as wide as APEC, with countries at such different stages of development, Taiwan's finance minister, Shih Yen-shiang, said this past week. Still, Shih said Taiwan endorses the free trade area as a long-term goal.

APEC must move "very, very incrementally and carefully," said Surin Pitsuwan, secretary-general of the Association of Southeast Asian Nations.

Leaders also stressed the need to invest in education, health care and employment training to ensure stability in the long term.

Following the APEC meetings, Obama was to hold a summit with all 10 ASEAN leaders, including military-ruled Myanmar. The leaders are expected to call on Myanmar's junta to hold credible elections, but a joint statement obtained by AP stops short of demanding the release of pro-democracy leader Aung San Suu Kyi and other political prisoners.

Associated Press writers Jim Gomez and Jae-soon Chang contributed to this report.

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APEC leaders attend a breakfast meeting in Singapore, Sunday, Nov. 15, 2009. (AP Photo/Shizuo Kambayashi, Japan Pool)