This book describes and analyses Indonesia's most serious economic crisis, against the general backdrop of economic decline in Southeast Asia. It also looks forward, considering Indonesia's immediate policy challenges to overcome the crisis, and dwelling on some of the longer-term policy challenges raised by the crisis.

The turn of the century and the crossroads of reformasi presents a timely juncture for examining Indonesia's political, economic, and social history--both to evaluate current events and to chart the country's future course. Providing an up-to-date overview, this volume explores events, processes, and themes in contemporary Indonesia--including the evolution of political institutions and democracy, economic development and political economy, religious and social movements, political ideology, and the role of the armed forces. By holding a mirror to historical events, the authors add a rich dimension to our understanding of Indonesia and its problems, free from the exigencies of the present and the prejudices of the past.

Indonesia enters the new millennium at a time of transition. It has experienced several crises - in particular the economic crisis of 1997-98, a severe intensification of its environmental degradation, and more recently the East Timor crisis, the ongoing Aceh demand for independence, the change of government from the autocratic Soeharto regime to one democratically elected and under the leadership of President Abdurrahman Wahid, and the outbreak of a number of violent communal conflicts. These crises were separate but have interlinked social and political dynamics. This major volume is the first wide-ranging analysis of recent developments. It analyses the social and political dimensions of reformation: poverty and income, environment and livelihood, civil society and legal institutions, and Islam and politics. Contributors include Indonesian and Australian scholars from a range of social science disciplines.

Since the fall of President Suharto in May 1998, Indonesia, the third largest country in Asia, has been facing a political, economic and social crisis. Racial and religious clashes, culminating in riots, burning and chaos, have become a daily event throughout the country. There are signs that this multi-racial, multi-religious and multi-cultural country may disintegrate just as Yugoslavia and the Soviet Union. There are two major reasons why Indonesia is facing the crisis. First, Suharto failed to keep the balance of power between the armed forces and Islam, just as Sukarno had failed in his interplay of strength between Communism and the armed forces. When the balance was tilted, chaos and disasters followed. The second reason is that the Indonesian people, at least a section of them, have lost the spirit of tolerance -- symbolised in the Indonesian state crest, Bhenneka Tunggal Ika ('Unity in Diversity') -- which is so vital in a multi-religious and plural society. The mass killing of thousands of ethnic Chinese on 13 May 1998; the appearance of mysterious 'ninja' murders, the burning of churches and mosques, and the religious clashes between Christians and Muslims in Ambon have all indicated that this spirit of tolerance which was once so strongly imbedded in the Indonesian culture is fast evaporating. There seems to be no more rule of law in the country. The cry for 'jihad' among the Muslims in Jakarta, to take revenge on the Christians in Ambon, is making the more moderate religious leaders panicky. There is a tendency among the Indonesians to take the law into their own hands. Some extreme Muslims even hope to establish an Islamic State of Indonesia. Economically, Indonesia'scommerce and industries have been ruined, with foreign investors shunning the country. Millions of people are dying everyday from hunger. The economic situation is deteriorating everyday. The author of this book is the for

Despite a severe economic crisis, social unrest and growing pressure for political change in Indonesia, President Suharto's hold on power seemed secure. Recent events have proved this otherwise. By describing the unfolding events since 1996, tracing the economic and social background, analysing the government's response and evaluating the actors most likely to shape Indonesia's future, this study provides key insights for understanding current and imminent processes of political change in Indonesia. "This particular volume is an extremely useful account of the events surrounding Suharto's fall from office, and his fall from grace." --Journal of Southeast Asian Studies "This book provides a useful, clearly written and thoroughly researched account...It is an essential addition to any teaching library, and indispensible aid in teaching about the period for university undergraduate courses." --Rima