The government of Indonesia is readying USD1.2 billion in funds to buy back a 40.77% stake in the country’s second largest telecoms operator PT Indosat, from Singapore Technologies Telemedia Limited (STT). According to a spokesperson for the office of the state minister for state enterprises, the money will be provided through state-owned companies, including national PTO Telkom. Indosat president Hasnul Suhaimi is believed to support the plan, although STT has denied that it is looking to offload the stake. In December 2002 STT won a stake in Indosat from the government, beating off competition from Telekom Malaysia, Gilbert Global Equity Capital Asia and Malaysian firm Desa Mahir. The government still owns roughly 14% of Indosat.