Up to 228 forestry companies owe the Indonesian government about Rp30.28 trillion, it has been revealed.
Longena Ginting, executive director of the Indonesian Forum for the Environment, said 80% of the debts have a low recovery rate. Companies owing money include forest concessionaires and plywood and pulp manufacturers.
He said the loans were concentrated on a group of large-scale companies with political links to the government. About half the debt has been incurred by wood processors who have no forest concessions.
