BUSINESSES HAVE ALREADY CALCULATED OIL PRICE RISKS: MINISTER

Jakarta, June 11 (ANTARA) - Acting chief economic minister Sri Mulyani Indrawati said she was sure economic players had already calculated the risks of oil price fluctuations based on their past experiences.

"I think businesses and rating agencies have already calculated the risks of oil price increases based on what they have experienced in past years so that the oil price is no longer a serious matter for them," Mulyani, who is also the finance minister, said here on Thursday.

Sri Mulyani acknowledged that a drastic change in the price of oil in the world market would create consequences for the overall structure and posture of the state budget. "It will affect the posture of the state budget, both in the receipt and subsidy expenditures, next year," the minister said.

But she expressed hope that the government and businesses would learn a lesson from their experiences during the fluctuations in world crude prices over the past three years.

The crude price in the world market has been showing an upward trend, and has even reached the US$70 per barrel level. The estimate made some time in the past was that the oil price would only rise to US$50 - US$60 per barrel.

In the meantime, economic observer FX Sugiyanto of the Semarang-based University of Diponegoro (Undip) said recently that all presidential candidates must continue preparing anticipatory steps in the face of a rise in world crude prices.

"They have to prepare anticipatory steps in the face of a possible drastic increase in world crude prices because at present the oil price in the world market has reached US$66 per barrel," Sugiynto said.

Whoever wins the presidential race next month will face difficulties in taking steps if the crude price in the world market continued to increase reaching US$99 to US$100 per barrel.

Therefore, he said that all presidential candidates must understand the problems that might arise with regard to the increase in world oil prices. They have to prepare special anticipatory steps in the programs of their visions and visions.