Commentary: No medal, but a little thank you note for (the other) ‘Ibu’ Ani

A story that received little attention in the media Thursday was the news the economy grew by 4.5 percent in 2009, making Indonesia not only among the few best performers in the world that struggled through a massive recession all last year, but also better than many had predicted.

The Jakarta Post was probably the only newspaper that gave this news from the Central Statistics Agency front-page treatment, admittedly appearing under the story about Golkar chairman Aburizal Bakrie’s defiant mood against the government over the Bank Century bailout and his own personal battle over tax matters involving companies in the Bakrie Group.

Indonesians are probably not very good at expressing gratitude. Even the noble phrase alhamdulillah (praise to Allah) has become so overused that it has lost its real meaning.

But considering the tight situation that Finance Minister Sri Mulyani Indrawati finds herself in today, being the person held most responsible for the decision to bail out Bank Century in 2008, the news should serve as a strong reminder to the nation about how fortunate Indonesia has been over the last year, thanks in part to her economic management.

The economy did not crash last year, defying the gloomy predictions many made at the start of 2009 that Indonesia would follow suit after the recession hit virtually every country in the neighborhood, particularly Singapore, Malaysia and Thailand.

Even as late as December, when it became clear that Indonesia had survived the crisis, the government was still predicting a 4.3 percent growth in gross domestic product (GDP) for 2009. The Central Statistics Agency said Wednesday the economy grew even faster in the last quarter, to give a final figure of 4.5 percent for the whole year.

Economists will tell you 101 different reasons why Indonesia performed much better than most other countries in Asia, or why it defied the predictions of much lower growth. These include strong consumer demand, resurgence of some commodity prices in the world markets, high spending associated with the general elections, the generally stable political situation in spite of an election year, and yes, the prudent management of the economy by Sri Mulyani, who served as chief economic minister and finance minister throughout most of the year.

It was for this reason that President Susilo Bambang Yudhoyono retained her in his Cabinet as he began his second term in office in October. She had served the first term well because of her tough reformist and uncompromising stance in managing the economy. Abroad, she won accolades as the best finance minister in the world.

Sri Mulyani has accepted full responsibility for the Bank Century bailout, a decision she made in her capacity as head of the Commission for the Financial Sector Stability (KSSK), as has Vice President Boediono, who was then governor of Bank Indonesia and also a member of the KSSK.

She has said on more than one occasion the decision was made when the global financial world was in turmoil, and she strongly believed that allowing the troubled Bank Century to fold at the time could have triggered a massive panic that would have set off a massive run on the entire banking system. With the 1997/98 banking crisis still fresh in mind, it was just too risky to take a chance, so the argument went.

“I believe then that I did the right thing, and I still believe today that it was the right decision,” she told a meeting with media editors in November.

Critics dispute her claim of a systemic threat to the banking system if Century was allowed to collapse, and this has become one of the major issues debated by the Bank Century inquiry committee at the House of Representatives.

No one probably knows who is right or who is wrong because it was a question of judgment. The big difference is Mulyani was finance minister and therefore would have to bear the responsibility if she had judged wrong, while critics could say anything they liked and would not have to bear the consequences.

Considering that Indonesia did well in 2009, and considering the possibility of a systemic threat if Bank Century had been allowed to collapse, shouldn’t the nation be saying thank you to Sri Mulyani, who may have saved the economy from a calamity, instead of harassing her and dragging her into the political mud?

President Yudhoyono on Thursday was right on the money when he said Indonesia as a nation seemed quick in lashing out at others, but slow in expressing gratitude.

“We are not so good at saying thank you and at giving appreciation to those who deserve to be awarded,” he said when presenting the Citra Bhakti Abdi Negara Awards to more than 70 regent chiefs and city mayors for their dedication to public services.

Sri Mulyani probably doesn’t deserve to get a medal. She did what she had to do in the service as Yudhoyono’s economic minister, and she may have saved the nation from a possible calamity in November 2008. However, a little thank you note, especially on the eve of the Valentine’s Day, is probably the least the nation can give her.

Thank you Ibu Ani.