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Indonesia urges oil producer countries to help reduce oil price hike impact
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15:04, June 30, 2008

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· Surge in Oil Prices
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Indonesian President Susilo Bambang Yudhoyono Wednesday called on oil producer countries to take part in efforts of decreasing the impacts of the oil price hike.

The huge increases of the global prices of oil and some commodities has led a suffer among the oil importer and developing countries, including Indonesia.

"I call on the developed countries, the rich countries, the countries which get huge benefit from the oil prices hike, to jointly find a solution to the oil prices hike," President Susilo said at the commemoration of the devotion day of the Indonesian doctors at the State Palace.

Global oil price has reached 135 U.S. dollar a barrel, triggering severe impacts on economy, politics and social life in many countries, especially the countries which import oil and developing countries.

"Because the large amount of the benefit from the oil prices hike will be followed by the suffering of the world community," said Susilo.

The president said that the world crisis had disturbed the achievement to the Millennium Development Goals (MDGs) to combat poverty and create prosperity.

"We must uphold the justice. All world leaders, all countries," must take part in this," said Susilo.

Indonesia raised fuel prices by an average of 28.7 percent at weekends as an effort to cut hefty subsidies.

The high oil prices and commodity prices have led Indonesia to trim its economic growth from 6.8 to 6 percent and inflation target from 6.0 to between 8.5 and 9.5 percents.

Although the Indonesian government distributes compensation of 100,000 rupiah (about 10.98 dollars) per month to each 19.1 million families and plans to provide 500,000 rupiah (some 54.95 dollars) for a poor university student, it will not help stop tens of thousands of demonstrators from protesting nation wide.

Until now the protests against the policy continue across the country.

Source:Xinhua



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