>From: "Dete Aliyah" <[EMAIL PROTECTED]> >Subject: Memorandum to the Executive Director of the World Bank >Date: Thu, 8 Jul 1999 14:27:37 +0700 > > Memorandum of Indonesian NGOs to > The Delegation of Executive Directors of the World Bank > Andrei Bugrov, Russia Federation; Godfrey Gaoseb, 22 African Nations; >Akira Kamitomai, > Japan; Ilkka Niemi, Nordic; Myles Wickstead, UK; Khalid Al-Saad, Middle >East; Jannes > Hutagalung, Indonesia/regional host; Alex Shakow, Deputy Secretary >of the Board; > > Jakarta, July 7, 1999 > > THE WORLD BANK MUST CHANGE! > > >With regard to the upcoming CGI Assembly on July 27-28 this year, and with >regard to the precise role of financial agencies such as the World Bank in >the case of Indonesia, we, Indonesian NGOs, wish to state the following: > >First, we oppose the annual CGI meeting on 26-27 in Paris. And we also >demand that during this period of transition, donors (CGI and the World >Bank) do not extend new loans nor release previously approved loans. > >Second, the key message of this post-Soeharto era is that the people of >Indonesia want and are currently undertaking to change the economic, social >and political system in Indonesia, and for this reason, funding agencies >such as the World Bank, must be willing to change. If the World Bank does >not want to change, there can be no doubt that this organization will be >considered extraneous, or at the very least, not able to understand the >wishes of the Indonesian people. > >Third, time and again we demand the World Bank to implement its promises and >its commitments as set forth in its many policies and operational >directives, and question the implementation of these promises or >commitments. We demand that implementation of the promises and commitments >of the World Bank regarding transparency, eradication of corruption, >participation of and consultation with the people, and promotion of human >rights, good governance, and environmental sustainability. We believe that >the longer the World Bank postpones their implementation, the more the >people of Indonesia will lose credibility in the World Bank. > >Fourth, we are extremely concerned about Indonesias debt burden. This debt >burden (principal and interest) now amounts to 33 percent of routine State >Budget expenditure. And 52 percent of export revenues are used to repay >this debt. Clearly this diminishes the budget and is damaging to the >people. We believe that additional debt will become a new problem to which >there will be no solution. A large portion of loan funds has been used to >repay previous loans. Also, it is now evident that a large portion of these >loan funds has not reached their target due to corruption and cronyism. >Corruption in Indonesia is widespread and deep-rooted, and must be >surmounted in all its forms if the Indonesian economy is to stabilize and >grow. This deep-rooted corruption has delayed and impaired development >projects and undermined the economy in general. Moreover, the World Bank >itself has acknowledged those corruption and leakage amounts to 30% of loan >funds. > >Fifth, we are extremely concerned about implementation of the Social Safety >Net program and World Bank SSNAL loans. The World Bank ultimately approved >the release of loans for SSNAL. The World Bank also approved the release of >the second tranche of this loan on May 20 1999, which Indonesia had access >to after the June 7 general election. As has been well documented by >Indonesian NGOs, Social Safety Net funds have been misused and leaked by >high placed officials to fund political activities. In the absence of tight >monitoring by the World Bank and the Indonesian Government and more in-depth >investigation by outside parties, including NGOs, there is little hope that >this money will answer the pressing needs of the poor in Indonesia. > >Therefore, we propose the following measures to the World Bank: > >1. The World Bank must indicate changes in policy and approach, in >particular in Indonesia. These policy changes must not merely be in >rhetoric, but must be evidenced by action by being practiced and >disseminated to the general public > >2. The World Bank cannot discharge itself of past mistakes in policy and >operation in Indonesia. Therefore, the World Bank must take responsibility. >Including the accountability of 30% leakage of loan funds. Failure on the >part of the World Bank to address and resolve this issue will destroy its >credibility and will impel Indonesian civil society to sue the World Bank >and withdraw its support for the World Bank. > >3. The World Bank should implement its commitment to eradicate corruption. >In this regard, the World Bank and the Indonesian government could urge >investigation into the leakage of 30% of loan funds during the Soeharto era. >The World Bank and the Indonesian Government should not organize the >upcoming CGI meeting unless this leakage of 30% of loan funds is included on >the agenda. > >4. The world Bank actively support the debt relief for Indonesia, including >convincing >the other donor countries that Indonesia is indeed deserved to get debt >relief because it will strengthen their budget and government investment, as >welll as maintaining the level of social spending, and it therefore it >accelerate the economic recovery. > >5. The World Bank has to implement their commitment and policy on >transparency. In relation with SSSN adjustment loan and PRSL loan, as small >steps, we demand the following steps to be taken by The World Bank.: > >* The conditionalities of the loan agreed by GOI and donor countries, >including the World Bank, should be made public, in English and Bahasa >Indonesia . So that the civil society groups and public at large could have >opportunity to give meaningful input. > >* The response and the action taken by GOI in meeting the conditionalities >also have to be made public. The document should be available in public, in >English and Bahasa Indonesia. > >* The Wold Bank should provide time and opportunity for the public and >civil society groups to gave comment and inputs with regard to response and >action taken by GOI in relations to loan conditionalities. > >* We strongly propose that there should be full of meeting of the board of >director to discuss the efficiency of the SSNAL and PRSL loan. The >objectives of the meeting is evaluate and analyze the progress and the >impact of the PRSLI loan before discussing the PRSL II loan. > >Sincerely, > >Zoemrotin K. Soesilo (INFID) Tini Hadad (YLKI) >Wardah Hafidz (UPC) Emmy Hafild (WALHI) >Ifdhal Kasim (ELSAM) Hira Jhamtani >Eliakim Sitorus (JK-LPK) Tedjo Wahyu Djatmiko (Konphalindo) >Mia Siscawati (RMI) Abdon Nababan (Telapak Indonesia) >Muayat A. Mushi (KPSHK) > > > ___________________________________________________________________ Mulai langganan: "subscribe envorum" ke [EMAIL PROTECTED] Stop langganan: "unsubscribe envorum" ke [EMAIL PROTECTED] Arsip di http://www.mail-archive.com/[email protected] atau di http://www.egroups.com/list/envorum
