Jakarta (ANTARA) - President Joko Widodo (Jokowi) has clarified that the government's decision to allow religious organizations to obtain mining business permits (IUPs) has been made with the aim of creating an equitable economy.

He made the statement in response to reports regarding the decision of the Muhammadiyah to obtain an IUP following a similar step taken by Islamic organization Nahdlatul Ulama.

"We aim for economic justice. Many have complained to me, asking why Indonesian mines are only managed by big companies," he said during his official visit to Batang district, Central Java, on Friday.

He further explained that the government's decision is based on the aspirations he heard while visiting mosques and pesantren, or Islamic boarding schools.

"My dialogues with people at pesantren and mosques have prompted us to formulate a regulation that provides religious organizations with an opportunity to take part in the management of mines," he elaborated.

The head of state then highlighted that, in principle, the government only intends to grant IUPs to business entities managed by religious organizations rather than to the organizations themselves.

He also stressed that the regulation has been issued not in a bid to push religious organizations to apply for IUPs. Instead, the regulation is meant to simply serve as a legal basis for those interested in managing mines, he explained.

Earlier, it was reported that chairperson of the Central Office (PP) of the Muhammadiyah, Anwar Abbas, had spoken about the organization deciding to get an IUP. However, he later refused to provide clarifications about the report.

In response, the treasurer of PP Muhammadiyah, Hilman Latief, informed that his side will soon declare its official stance regarding the opportunity to manage mines.

"Just wait for our official stance," he told reporters.

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Translator: Yashinta Difa, Tegar Nurfitra
Editor: Azis Kurmala
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