Wednesday, August 1, 2007

Country profile: Indonesia


Spread across a chain of thousands of islands between Asia and Australia, Indonesia has the world's largest Muslim population.

Ethnically it is highly diverse, with more than 300 local languages. The people range from rural hunter-gatherers to a modern urban elite.

Indonesia has seen great turmoil in recent years, having faced the Asian financial crisis, the fall of President Suharto after 32 years in office, the first free elections since the 1960s, the loss of East Timor, independence demands from restive provinces, bloody ethnic and religious conflict and a devastating tsunami.


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Overview of Indonesia


Sophisticated kingdoms existed before the arrival of the Dutch, who consolidated their hold over two centuries, eventually uniting the archipelago in around 1900.

After Japan's wartime occupation ended, independence was proclaimed in 1945 by Sukarno, the independence movement's leader. The Dutch transferred sovereignty in 1949 after an armed struggle.

Long-term leader General Suharto came to power in the wake of an abortive coup in 1965. He imposed authoritarian rule while allowing technocracts to run the economy with considerable success.

But his policy of allowing army involvement in all levels of government, down to village level, fostered corruption. His "transmigration" programmes - which moved large numbers of landless farmers from Java to other parts of the country - fanned ethnic conflict.

Suharto fell from power after riots in 1998 and has so far escaped efforts to bring him to justice for decades of dictatorship.

Post-Suharto Indonesia has made the transition to democracy. Power has been devolved away from the central government and the first direct presidential elections were held in 2004.

But the country faces demands for independence in several provinces, where secessionists have been encouraged by East Timor's 1999 success in breaking away after a traumatic 25 years of occupation.

Militant Islamic groups have flexed their muscles over the past few years. Some have been accused of having links with Osama Bin Laden's al-Qaeda organisation, including the group blamed for the 2002 Bali bombings which killed 202 people.

Lying near the intersection of shifting tectonic plates, Indonesia is prone to earthquakes and volcanic eruptions. A powerful undersea quake in late 2004 sent massive waves crashing into coastal areas of Sumatra, and into coastal communities across south and east Asia. The disaster left more than 220,000 Indonesians dead or missing.


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President: Susilo Bambang Yudhoyono


Former army general Susilo Bambang Yudhoyono won Indonesia's first-ever direct presidential elections in September 2004, unseating the incumbent Megawati Sukarnoputri. The election was hailed as the first peaceful transition of power in Indonesia's history.

Mr Yudhoyono, a former security minister in the Megawati government, promised to fight corruption, rejuvenate the economy and tackle separatist conflicts.

On the campaign trail he sought to present himself as a man of integrity and as an effective leader in times of crisis. He said the 2004 Asian tsunami disaster had precipitated the most difficult period in Indonesia's history.

The president identifies the fight against terrorism as a key challenge. As security minister he spearheaded operations to capture Islamic extremists blamed for the 2002 Bali nightclub bombings.

His administration won international plaudits for signing a peace deal in 2005 with separatist rebels in Aceh province but on the economic front he has struggled to better the lot of many Indonesians.

Some observers say he has failed to tackle corruption within the country's massive bureaucracy.

Mr Yudhoyono, a fluent English speaker, studied for his master's degree in the US. Rising through the ranks under former President Suharto, he led his country's peacekeeping contingent in Bosnia in the 1990s.

Sometimes called 'SBY', after his initials, Mr Yudhoyono is praised by his supporters for balancing strength and compassion. Critics have said he is over-cautious.

# Foreign minister: Noer Hasan Wirajuda
# Finance minister: Sri Mulyani Indrawati
# Defence minister: Juwono Sudarsono


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Fidel's presence still keenly felt in Cuba


Cuba without Fidel Castro at the helm: many wondered whether communism in the Caribbean could survive without him.

There was dancing in the streets of Miami, as anti-Castro exiles wrongly assumed the end was nigh.

A year later, and outwardly little in Cuba appears to have changed after emergency surgery forced the 80-year-old Fidel to hand over power for the first time since his revolution in 1959.

It was a smooth transition, but so far stability has not led to any improvement to people's daily lives.

Low wages, food shortages and poor public transport are the complaints that dominate conversations here much more than questions of political freedom.

Practical and pragmatic

The world's longest serving defence minister, General Raul Castro has been his brother's right-hand-man since they were both guerrilla fighters in the Sierra Maestra, struggling to overthrow the US-backed dictator, Fulgencio Batista.

In those days, Raul was considered a hardline enforcer who was a dedicated communist long before Fidel.

He doesn't have Fidel's charisma, but Raul is considered the more practical and pragmatic of the two.


This has raised expectations that some economic reforms may be on the way.

In an hour-long keynote televised address before a 100,000 strong crowd last week, Raul acknowledged there were problems with the economy and changes were needed.

"To have more, we have to begin producing more... to reach these goals, the needed structural and conceptual changes will have to be introduced."

He also said that the country may have to turn once again to foreign investment.

Elder statesman

Many Cubans and Western observers believe this to be a signal that Chinese-style reforms are finally on the way; an opening up of the economy while maintaining political control.

As caretaker president, Raul has also offered to sit down at the negotiating table with the United States. That's been rejected and under US law, there can be no lifting of the embargo against Cuba as long as either brother is in power.

Most Western observers believe Raul is running day-to-day government. What is less clear is who is setting the political agenda.

For the moment, Fidel has taken on the role of elder statesman as he continues to recuperate from a series of stomach operations.



Recent pictures show that he has put on weight and appears to be getting stronger.

In recent months, Fidel has increasingly made his presence felt through regular newspaper editorials, called Reflections of the Commander in Chief.

Many are attacks on his ideological nemesis, US President George W Bush. Only a few have dealt with internal politics. All are read in their entirety on nightly television news and the first collection has been published in book form.

In one of his editorials last month, he suggested that what the economy really needed was a renewed sense of revolutionary dedication.

"The standard of living can be improved by raising knowledge, self-esteem and dignity of the people. It will enough to reduce waste and the economy will grow."

Fidel Castro's hand may not be on the tiller but his presence remains immense.

Many believe that there can be no major changes in Cuba without his approval, much less against his wishes.

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