TOKYO -- The US official in charge of the Y2K computer problem warned on Tuesday that Southeast Asian nations were lagging in their efforts. He urged Tokyo to join Washington in helping tackle the problem.
"We are sensitive to the economic challenges many countries [in Southeast Asia] are facing, but we need to work to increase the level of activity on the year 2000 problem in these areas," said John Koskinen, chairman of the President's Council on Year 2000 Conversion. "We are particularly concerned about providing technical advice to Southeast Asian nations."
Koskinen was in Tokyo for meetings on future cooperation between the United States and Japan in dealing with the millennium bug.
Koskinen said Tokyo and Washington needed to provide their knowledge and assistance to other countries, particularly Southeast Asian nations, as they are now hit with slumping economies and finding it difficult to spare time and funds for a problem that will not arise for another 15 months.
"But I am pleased with the indication of growing awareness in the countries in Southeast Asia," Koskinen said. "While it may be getting late, we are hoping to build on that beginning momentum to increase the level of activity in those countries."
Koskinen's visit follows an agreement between President Clinton and Japanese Prime Minister Keizo Obuchi last week for their governments to jointly tackle the millennium bug. The two governments have agreed to set up working-level committees on the issue in the areas of finance, transport, telecoms, energy, and health.
Experts have warned that Japanese companies are lagging way behind their counterparts in the United States and Europe in handling the issue. Only 48 percent of financial institutions in Japan had their key accounting systems modified at the end of June, and only 79 percent expected to be prepared by the end of 1998, according to a survey by the Bank of Japan.
Koskinen said small and medium-sized firms, not only in Japan but around the world, continued to lag in taking appropriate steps and urged governments to give financial help where necessary. Asked about whether 15 months was a realistic amount of time to deal with Y2K, he said time was running out for those who had not taken any steps.
"It is clear that if you are a large or a medium-sized company and you have not started taking action now, you should start. But it will be unlikely that you will be finished with all of your systems in the days left."
The Year 2000 problem results from a long-standing computer-programming practice of reducing the year to its final two digits. Computer systems may fail, with potentially disastrous results, if internal clocks are unable to cope with the change from 99 to 00.
Copyright© 1998 Reuters Limited.
