REPUBLIKA.CO.ID, JAKARTA - Plan over foreign ownership limit contradicts with government's offer to members of World Trade Organization (WTO). The new plan will strictly limit foreign ownership at the most 40 percent of shares. 

It contradicts with the fact that earlier Indonesian government has proposed the limit of 51 percent of shares to WTO member countries. Deputy Governor of Bank Indonesia, Halim Alamsyah, said that 51 percent shares was part offering kit from Indonesia as a state. 

"According to international regulation our offer is legally binding and we cannot back off," Alamsyah said. "It is impossible to back off," he said recently.  

House of Representative is still assesing new bill to limit foreign ownership at most 40 percent. But Alamsyah said, parliament must consider the status of government's offer in WTO.   

Manwhile, Alamsyah said that regulation of Bank Indonesia still allowed foreign ownership up to 99 percent shares if only the shares were divided among three co-owners. 

"I concern over sole ownership over national bank," Alamsyah said ten added that government would be difficult to maintain finacial stability if banking sector was dominated by foreign capital.   

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