UPDATE 1-Indonesia fin min nominated as central bank chief

JAKARTA, June 25 - Indonesian President Susilo Bambang Yudhoyono, who is seeking re-election next month, has nominated his finance minister as a candidate for the post of central bank governor, a presidential spokesman said on Thursday.

Sri Mulyani Indrawati, 46, who is also economic co-ordinating minister, has played a key role shaping policy in Southeast Asia's biggest economy in the Yudhoyono administration.

Asked whether any candidates had been selected, a presidential spokesman said: "Yes, one of them is Sri Mulyani."

Spokesman Andi Mallarangeng did not say whether any other candidates had been nominated.

The position of central bank governor became vacant when Bank Indonesia governor Boediono stepped down in May in order to run as Yudhoyono's vice president.

Candidates for Bank Indonesia governor must be submitted to parliament for approval.

The respected Indrawati is one of a small number of ministers who have an international profile, with her western education and experience at the International Monetary Fund.

She is credited with driving a crackdown on graft in the notoriously corrupt tax and customs departments in the last few years.

As a result, tax collection has increased while customs practices have made some progress but still need further improvements.

But efforts to push reform have also ruffled feathers and she has clashed with her other cabinet colleagues including wealthy businessman and welfare minister Aburizal Bakrie.

(Click on [ID:nSP407108] for a SCENARIOS on possible post-election jobs)