Indonesian govt postpones Cemex agreement

Indonesian govt postpones Cemex agreement
Published: 27 January 2005

The government of Indonesia has postponed the signature of an agreement that could put an end to a long-running dispute with Cemex over the control of the south-east Asian country’s biggest cement maker, PTY Semen Gresik. The government delayed the ratification of the agreement against a backdrop of fierce resistance from the opposition in parliament. Official sources said that the discussions were delayed due to the need of Cemex to obtain approval from its municipal leaders and lawyers on "last minute changes" However, the Cemex official responsible for Indonesia, denied this and said that a revision of the agreement could take another month to conclude. The delay in the agreement is a blow for the Indonesian President Susilo Bambang Yudhonyono to improve the investment climate in the country.