RI TO CUT OIL IMPORT, PROMOTE USE OF BIOFEULS

By Andi Abdussalam

Jakarta, Aug 27 (Antara) - Indonesia is taking steps to reduce its fuels imports and promote the use of biofuels at home in response to its current account deficit and the depreciation of its rupaih currency against the US dollar.         Besides cutting oil and gas imports, the Indonesian government, through a package of economic policies it announced last weekend, is also boosting its exports to help cover its deficit.         "Right now, we need an immediate solution to the current account deficit. The government will overcome the deficit by reducing imports, particularly fuel oils," Chief Economic Minister Hatta Rajasa told a press conference on Monday.          Seasonal external and internal factors as well as falling prices of export commodities overseas have been believed to contribute to widening of the current account deficit  from US$5.8 billion  or 2.6 percent of the country's GDP in the first quarter this year to US$9.8 billion in the second quarter or 4.4 percent of the GDP.