Bulletins and News Discussion for February 19th to February 25th, 2023 - The Shadow of Suharto - COTW: Indonesia

Image is of Jakarta, the capital of Indonesia and the fastest sinking city in the world. A new capital is being built elsewhere in Indonesia.

I was going to make Indonesia the COTW anyway (unless something really massive happened somewhere else) due to the elections that might really designate the end of an era in Indonesian politics. Michael Roberts wrote up a big piece on Indonesia about a week ago, one day before the election began, so a lot of this information is coming from him.

Indonesia has been ruled by President Joko Widodo for 10 years, but is now barred from a third term constitutionally. Under his presidency, the Indonesian economy has seen fairly good GDP growth overall - about 5% per year, or an average of 4% per capita - and is broadly popular with the electorate. The biggest problems are the common ones, such as a lack of jobs and a high cost of living. Widodo's successors have naturally promised more jobs and an economic plan that clearly draws at least some inspiration from China's rise from the periphery to the heights of the world economy and manufacturing, but this seems pretty unlikely for Indonesia because, well, Indonesia is ruled by capitalist bourgeoisie parties and China is not. Indonesia's main gigs are palm oil, nickel ore, and oil, with internal manufacturing of these primary commodities only slowly growing and reliant on foreign labour.

Indonesia has a rather big employment problem. On the face of it, things don't seem bad, with an unemployment rate of only 5% - but this is only because it counts anybody who works even a couple hours per week. 60% of the workers in Indonesia are in the informal sector, with no real labour rights, sick pay, or guaranteed wages. And half of the ~8 million unemployed are young people. Indonesia is the sixth most unequal country on the planet, with at least 36% of the population in poverty, and the four richest men own as much as the bottom 100 million. This was a natural consequence of the policies of the dictator Suharto, who came to power in a coup overthrowing the communist nationalist leader Sukarno and killing one million communists, a period covered by Bevin's The Jakarta Method. At a fundamental level, not that much has changed since Suharto, and the country seems doomed to a path of slowing economic growth and massive amounts of environmental degradation under a plundering elite who will presumably fly off to New Zealand with the rest of them once the seas swallow the country, unless a communist movement can be rebuilt from ashes and can learn the lessons of 1965-66.

Though results have yet to be officially announced, it seems that 72-year-old Prabowo Subianto is overwhelmingly likely to have handily won the election. Once banned from the United States for human rights violations - a truly phenomenal feat - he has been the Minister of Defense since 2019, was an army lieutenant under Suharto and was his son-in-law. While this is obviously a particularly bad outcome, none of the other candidates seemed likely to fundamentally alter the trajectory of Indonesia, so the game was rigged from the start.

The Country of the Week is Indonesia! Feel free to chime in with books, essays, longform articles, even stories and anecdotes or rants. More detail here.

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