Identifier
Created
Classification
Origin
09JAKARTA427
2009-03-12 08:16:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Jakarta
Cable title:
SUGGESTED THEMES FOR GEITHNER-SRI MULYANI PULL ASIDE ON
how-toVZCZCXYZ0000 OO RUEHWEB DE RUEHJA #0427 0710816 ZNR UUUUU ZZH O 120816Z MAR 09 FM AMEMBASSY JAKARTA TO RUEHC/SECSTATE WASHDC IMMEDIATE 1806 RUEATRS/DEPT OF TREASURY WASHDC IMMEDIATE RHEHNSC/NSC WASHDC IMMEDIATE INFO RUEHLO/AMEMBASSY LONDON 0922 RUEHGP/AMEMBASSY SINGAPORE 6479
UNCLAS JAKARTA 000427
SENSITIVE
SIPDIS
DEPARTMENT FOR EAP/MTS, EEB/IFD
TREASURY FOR M.NUGENT, T.RAND
SINGAPORE FOR S. BAKER
E.O. 12958: N/A
TAGS: EFIN ECON EAID ID
SUBJECT: SUGGESTED THEMES FOR GEITHNER-SRI MULYANI PULL ASIDE ON
MARGINS OF G-20 FINANCE MINISTERS MEETING
REF: A) Jakarta 418 B) SECTO 9 C) SECTO 10
Sensitive But Unclassified. Not for Internet Distribution.
UNCLAS JAKARTA 000427
SENSITIVE
SIPDIS
DEPARTMENT FOR EAP/MTS, EEB/IFD
TREASURY FOR M.NUGENT, T.RAND
SINGAPORE FOR S. BAKER
E.O. 12958: N/A
TAGS: EFIN ECON EAID ID
SUBJECT: SUGGESTED THEMES FOR GEITHNER-SRI MULYANI PULL ASIDE ON
MARGINS OF G-20 FINANCE MINISTERS MEETING
REF: A) Jakarta 418 B) SECTO 9 C) SECTO 10
Sensitive But Unclassified. Not for Internet Distribution.
1. (SBU) Indonesian Finance Minister Sri Mulyani Indrawati will use
her pull aside with Treasury Secretary Geithner to repeat
Indonesia's requests made by Indonesian President Yudhoyono and
Foreign Minister Wirajuda during Secretary Clinton's February 18-19
visit. Embassy recommends that Secretary Geithner congratulate
Indonesia for its successful management of the financial crisis and
look for ways to coordinate our positions on changes to the
international regulatory framework.
2. (SBU) Numerous Indonesian officials have said that Sri Mulyani
will likely ask Secretary Geithner about the status of Indonesian
requests for economic assistance to the U.S. relayed to Secretary
Clinton during her recent visit to Jakarta (reftel). Indonesia
requested that the United States Federal Reserve provide a bilateral
currency swap line. Sri Mulyani will also likely reiterate
Indonesian officials' request for U.S. support for a capital
increase for the Asian Development Bank and may ask whether the U.S.
could agree to a bilateral add-on to the World Bank-led contingency
financing package approved on March 3.
3. (SBU) We recommend that Secretary Geithner congratulate Sri
Mulyani for Indonesia's successful management of the crisis to date.
Sri Mulyani has led Indonesia to some sound policy decisions (quick
action to increase liquidity, approval of a fiscal stimulus package
equal to 1.4% of GDP, and successful domestic and global bond
issuances) and also faced down some direct challenges to her
authority (she reportedly threatened to resign over an attempt to
overturn her decision to resume public trading of a company
controlled by a fellow cabinet member). And she proactively sought
contingent World Bank financing. She has not, however, been a
public voice against increasing trade barriers in Indonesia.
4. (SBU) Sri Mulyani is also a potential ally against attempts to
develop overly restrictive global financial regulations. She is
concerned that developing countries will be unable to effectively
implement some of the regulations currently being proposed.
HEFFERN
SENSITIVE
SIPDIS
DEPARTMENT FOR EAP/MTS, EEB/IFD
TREASURY FOR M.NUGENT, T.RAND
SINGAPORE FOR S. BAKER
E.O. 12958: N/A
TAGS: EFIN ECON EAID ID
SUBJECT: SUGGESTED THEMES FOR GEITHNER-SRI MULYANI PULL ASIDE ON
MARGINS OF G-20 FINANCE MINISTERS MEETING
REF: A) Jakarta 418 B) SECTO 9 C) SECTO 10
Sensitive But Unclassified. Not for Internet Distribution.
1. (SBU) Indonesian Finance Minister Sri Mulyani Indrawati will use
her pull aside with Treasury Secretary Geithner to repeat
Indonesia's requests made by Indonesian President Yudhoyono and
Foreign Minister Wirajuda during Secretary Clinton's February 18-19
visit. Embassy recommends that Secretary Geithner congratulate
Indonesia for its successful management of the financial crisis and
look for ways to coordinate our positions on changes to the
international regulatory framework.
2. (SBU) Numerous Indonesian officials have said that Sri Mulyani
will likely ask Secretary Geithner about the status of Indonesian
requests for economic assistance to the U.S. relayed to Secretary
Clinton during her recent visit to Jakarta (reftel). Indonesia
requested that the United States Federal Reserve provide a bilateral
currency swap line. Sri Mulyani will also likely reiterate
Indonesian officials' request for U.S. support for a capital
increase for the Asian Development Bank and may ask whether the U.S.
could agree to a bilateral add-on to the World Bank-led contingency
financing package approved on March 3.
3. (SBU) We recommend that Secretary Geithner congratulate Sri
Mulyani for Indonesia's successful management of the crisis to date.
Sri Mulyani has led Indonesia to some sound policy decisions (quick
action to increase liquidity, approval of a fiscal stimulus package
equal to 1.4% of GDP, and successful domestic and global bond
issuances) and also faced down some direct challenges to her
authority (she reportedly threatened to resign over an attempt to
overturn her decision to resume public trading of a company
controlled by a fellow cabinet member). And she proactively sought
contingent World Bank financing. She has not, however, been a
public voice against increasing trade barriers in Indonesia.
4. (SBU) Sri Mulyani is also a potential ally against attempts to
develop overly restrictive global financial regulations. She is
concerned that developing countries will be unable to effectively
implement some of the regulations currently being proposed.
HEFFERN