VZCZCXRO3828
OO RUEHCHI RUEHCN RUEHDT RUEHHM
DE RUEHJA #2099 3570912
ZNR UUUUU ZZH
O 230912Z DEC 09
FM AMEMBASSY JAKARTA
TO RUEHC/SECSTATE WASHDC IMMEDIATE 4192
INFO RUEHZS/ASSOCIATION OF SOUTHEAST ASIAN NATIONS COLL
RHEHNSC/NSC WASHDC

UNCLAS JAKARTA 002099 
 
DEPT FOR EAP/MTS, EAP/PD AND ECA/A 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: OEXC KPAO ID
SUBJECT:  INDONESIANS CRAVE MORE U.S. EDUCATION OPPORTUNITIES 
 
¶1.  Summary: Education initiatives took center stage during the 
DCM's visit to Yogyakarta on Monday, 14 December 2009.  During 
meetings with the Rector of Gadjah Mada University and the 
Yogyakarta Chamber of Commerce, several opportunities for 
cooperation emerged to expand student exchanges and build 
educational linkages between Indonesia and the U.S.  Such 
collaboration will contribute to advancing Embassy Jakarta's top 
priority - higher education.  End summary. 
 
¶2.  On 14 December, DCM, accompanied by USAID and PAS officers, met 
with the Rector of Gadjah Mada University (UGM) Yogyakarta, 
Professor Sudjarwadi.  A trained civil and environmental engineer 
alumnus of Iowa University, Rector Sudjarwadi oversees one of the 
largest public universities in Indonesia.  A reputable institution 
both domestically and abroad, UGM boasts a history of alumni 
ascending to high-profile positions, particularly within the 
Ministry of Foreign Affairs. 
 
¶3.  Rector Sudjarwadi is one of Embassy Jakarta's strongest 
interlocutors.  Mission Jakarta thus looks forward to identifying 
further opportunities to deepen collaboration with his institution. 
Specifically, UGM will be hosting a "World Conference on Science, 
Education and Culture" and a "Colloquium in Honor of Dr. Ann Dunham 
Soetoro" in October 2010.  Rector Sudjarwadi has asked for 
assistance in the compilation of U.S. experts to participate in 
these events.  DCM also informed the Rector and UGM staff present at 
the meeting about the USAID university partnership grant program. 
Details of the application and proposal process are being sent to 
the Rector and his staff.  Deepening this relationship with UGM will 
greatly contribute towards achieving Embassy Jakarta's objectives 
under its top priority - education. 
 
¶4.  DCM also visited the American Corner at UGM.  Located in the 
center of the campus, this first floor, sunny corner of one of the 
library buildings boasts wi-fi and DVC capability.  It was packed 
with students from various disciplines, including international 
relations, communications, and English. 
 
¶5.  Members of the Yogyakarta Chamber of Commerce, George Iwan 
Marantika, Eddy Purjanto and Robby Kusumaharta hosted a lunch for 
the DCM and Mission colleagues where discussion also turned to 
education.  The hosts urged Embassy Jakarta to expand significantly 
opportunities for business education in the U.S., particularly in 
the area of entrepreneurship.  While Embassy Jakarta is currently 
working on numerous on-going education initiatives - including 
EducationUSA expansion and the USAID program to foster partnerships 
between universities in Indonesia and the United States - the DCM 
stressed the importance of assistance and support from the business 
community as well.  Our hosts appreciated these activities, 
particularly the successes of the USAID SENADA program, and 
suggested that the U.S. return to its previous approach, which they 
described as aggressive in recruiting and promoting education 
opportunities in the U.S. 
 
¶6.  In addition to education, our hosts also discussed recent 
economic conditions.  Yogyakarta experienced only 2% growth in 2009 
and currently suffers from 20% unemployment, primarily attributable 
to the lingering effects of the 2006 Bantul earthquake.  The 
two-year moratorium on business tax payments also just ended. 
Finally, U.S. duties on Indonesian products are taking their toll on 
Indonesian small businesses.  Our hosts stressed that with regard to 
U.S. duties they deserve the same treatment as their counterparts in 
the Philippines, Thailand, Taiwan, and Vietnam. 
 
¶7.  Yogyakarta's economic growth has traditionally been propelled 
fairly evenly across business, education, government, and tourism. 
The current growth rate is derived solely from the education and 
tourism sectors.  Although the investment climate is improving in 
general, thanks in large part to good governance by the Sultan (who 
is also the Governor of the special district of Yogyakarta), 
business wants a significant push for foreign direct investment in 
the region - specifically in the areas of information technology, 
agro-business, renewable energy, and tourism.  The Chamber of 
Commerce also showed interest in resurrecting the prior sister-state 
relationship between Yogyakarta and California, which was side-lined 
by the Asian financial crisis. 
 
OSIUS