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Indonesia is the world¿s 4th most populous country and the most populous Muslim nation. It is also a moderate Muslim state that is positioned astride key sea lanes that link East Asia with the energy resources of the Middle East. This report surveys key aspects of Indonesia¿s domestic politics and strategic dynamics in addition to provide general background info. on Indonesia. It also provides an overview of the bilateral relationship between the U.S. and Indonesia. The report examines such issues as: Indonesia¿s role in the struggle against violent Islamist extremists, security assistance, human rights, religious freedom, promotion of democracy and good governance, trade, foreign assistance, and regional geopolitical and strategic interests. Tables and map.
Recommendations -- New order forestry policy and the roots of the crisis -- Missed opportunities for reform -- Human rights abuses -- Role and responsibility of the Indonesian government: impunity -- Indigenous land rights -- Role and responsibility of Arara Abadi, APP, and the Sinar Mas group -- Role and responsibility of the international financial community -- Human rights and environmental degradation.
Indonesia has been remarkably successful in achieving its development objectives over the past 25 years. Although it is still a low-income country, its tradition of sound economic management has laid the foundations for continued progress in the decades ahead. As the Indonesian government formulates its second long-term development plan, issues of environmental quality and sustainability raise new concerns. This report examines environmental issues, assesses their implications for the achievement of development goals, and suggests an action plan that would help to ensure that those goals will be met. The analysis of current environmental conditions and trends and of the likely impact of future growth leads to three main conclusions: - Future growth will depend increasingly on Indonesia's stock of key natural resources and the sustainability of critical ecosystems. -The industrial sector will continue to expand in urban areas, where growing congestion and industrial pollution pose an immediate threat to health and human welfare. This will eventually lead to negative effects on the economy. -As a result of rapid growth, environment- related issues of equity among the population will become increasingly important.
The popular 1998 reformasi movement that brought down President Suharto’s regime demanded an end to illegal practices by state officials, from human rights abuse to nepotistic investments. Yet today, such practices have proven more resistant to reform than people had hoped. Many have said corruption in Indonesia is "entrenched". We argue it is precisely this entrenched character that requires attention. What is state illegality entrenched in and how does it become entrenched? This involves studying actual cases. Our observations led us to rethink fundamental ideas about the nature of the state in Indonesia, especially regarding its socially embedded character. We conclude that illegal practices by state officials are not just aberrations to the state, they are the state. Almost invariably, illegality occurs as part of collective, patterned, organized and collaborative acts, linked to the competition for political power and access to state resources. While obviously excluding many without connections, corrupt behaviour also plays integrative and stabilizing functions. Especially at the lower end of the social ladder, it gets a lot of things done and is often considered legitimate. This book may be read as a defence of area studies approaches. Without the insights that grew from applying our area studies skills, we would still be constrained by highly stylised notions of the state, which bear little resemblance to the state’s actual workings. The struggle against corruption is a long-term political process. Instead of trying to depoliticize it, we believe the key to progress is greater popular participation. With contributions from Simon Butt, Robert Cribb, Howard Dick, Michele Ford, Jun Honna, Tim Lindsey, Lenore Lyons, John McCarthy, Ross McLeod, Marcus Mietzner, Jeremy Mulholland, Gerben Nooteboom, J Danang Widoyoko and Ian Wilson. This book is the result of a series of workshops supported, among others, by the Australian-Netherlands Research Collaboration (ANRC).
Analytical work on Indonesian macroeconomic and financial issues, with an overarching theme on building institutions and policies for prosperity and inclusive growth. The book begins with a 20-year economic overview by former Finance Minister Chatib Basri, with subsequent chapters covering diverse sectors of the economy as well as Indonesia’s place in the global economy.