Transcript of Dita Sari interview from ABC Radio's Asia Pacific:
http://abc.net.au/ra/asiapac/programs/s762476.htm

INDONESIA: Continuing protests over price rises

Presenter/Interviewer: Karon Snowdon, Finance correspondent
Speakers: Ditta Indah Sari, head of the National Front for Indonesian
Workers Struggle; Peter Duncan, Chief Economist with consulting firm
Castle Asia

SNOWDON: Demonstrations have entered their fourth day. Students, trade
unionists and the poor have been joined in some protests by business
groups in demanding the price rises be reversed or delayed. Failing that
they want the government to step aside.

Trade Union activist Ditta Indah Sari and other protest organisers say
the country is being pressured by the International Monetary Fund, which
insisted on subsidy cuts among other measures in return for its five
billion dollar loan. Ditta Sari draws a comparison with the mass
demonstrations in 1998 which toppled the dictator Soharto.

SARI: Because yesterday Megawati has announced in Bali that she would
not cancel the policy and she would face any consequences regarding this
policy. So it's a declaration of a so-called war from the government
against the people and we would have to respond with as strong a
movement as possible.

SNOWDON: Ditta Indah Sari, head of the National Front for Indonesian
Workers Struggle speaking on a mobile phone on her way to another
demonstration outside the presidential palace.

Diesal fuel costs have soared by 22 percent, electricity is up by six,
with three similar increases to follow throughout the year, telephone
charges are up by an average of 15 percent.

While 60 percent of Indonesians live below or close to the poverty line,
such price hikes easily get people onto the streets.

President Megawati says she has no choice to cut back subsidies on fuel
and transport if Indonesia is to rid itself of the weight of foreign
loans by reducing the deficit. She has said an emphatic "no" to the
protestors' demands.

A major debate rages between the activits for siocial equity and
economists who argue its the middle class and the rich who benefit most
from cheap fuel and phone charges.

Peter Duncan is Chief Economist with consulting firm Castle Asia.

DUNCAN: Subsidies in the past have benefitted the much wealthier
elements of the community at the expense of the poorer elements of the
community and the former have used the pressure of demonstrations to try
to retain them. The present government is now facing up to this
situation.

SNOWDON: The government's biting of the subsidy bullet is risky
politically. Press reports have suggested a number of meetings have
taken place between former President Wahid and politicians with an eye
on the top job.

House speaker Amin Rais is said to be one. His office has denied such a
meeting took place. But Mr Rais did meet with a delegation of protestors
led by Ditta Sari just before I spoke to her . She agrees the protestors
could be playing with fire by petitioning politicians to join in the
demonstrators demands for policy changes.

SARI: Of course Amin Rais and other politicians in the parliament have a
very strong interest to take up our position but that doesn't mean they
would make a policy that would be on the part of the people. So by
drawing more forces outside the parliament together, the alternative
would be much much better.
13/1/2003


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