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| Recommendations
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TERRITORIAL INTEGRITY
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Efforts to address the sources of insecurity in Indonesia should be discussed within the context of the unity of the Indonesian state, since continued unity appears the most likely outcome at this stage. Ideas should be developed to address some of the separatists’ concerns through limited autonomy where this approach is feasible and helpful.
HISTORY
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Efforts to move forward and come to terms with the past could involve such Commissions on Truth and Reconciliation as were helpful in this regard in post-Pinochet Chile and post-apartheid South Africa.
POLITICAL SYSTEM
Democratization
- Democratization in Indonesia must be supported and allowed to continue to develop at a sure and steady pace. Support should be given for organizations that attempt to educate the Indonesian people, particularly in the provinces, on democracy’s goals and the nature of democratic citizenship.
Decentralization
- Efforts to decentralize the system of governance in Indonesia must be supported. Local analysts should be involved in ensuring that continued decentralization is carried out in an orderly and effective fashion.
- Support must be given to improve the planning of future decentralization efforts. Specialists must be given a role in creating strategies for Jakarta, and regional projects to prepare local governing institutions for their new roles should be considered. Both local and international NGOs and donors could have a role in this preparation.
- Attention must be paid to details such as improved regulation and supervision, good governance and accountability, and the continuation of basic services.
Absence of Stable Institutions
- The government and civil society of Indonesia need to develop strategies to build more effective institutions. These efforts should be fully supported by the international community and must be developed to create incentives for employees to make their institutions more effective and free from corruption.
- Among the most urgent needs are the development of a more efficient civil service, where employees are well-trained and adequately remunerated, and an independent and corruption-free judiciary that apportions accountability regardless of ethnic, religious, or power relationships.
Leadership
- Encouragement and support should be given to local NGOs that attempt to develop leadership training programs for young future Indonesian leaders. This training should teach leadership skills as well as develop an understanding of democracy, social justice, good governance, civil society and human rights.
- Local training programs for government officials, members of district parliaments and district leaders should also be further developed. These programs should also teach skills such as facilitation and community-based conflict resolution, as well as convey a basic understanding of the sustainable management of environmental resources.
- Strategies should be sought to expand excellent but small-scale projects, using those successful small projects as models.
Role of the Military
- An increase in military salaries could help eliminate corruption within the military and eliminate the incentive for rapacious behavior among soldiers and the resulting civilian hostility. Financial security could free time and energy for training troops, for example, on the rules of engagement and the humanitarian treatment of civilians. To pay for salary increases, a reduction in the total number of soldiers should be considered, as fewer but more professional soldiers could do the same job.
- In those crisis areas where professional behavior is paramount to the accomplishment of the mission, soldiers could be paid dramatically higher “combat pay” and could be provided with special funding for equipment.
- If military involvement in business continues to be necessary, ventures must be transparent and subject to the legal guidelines that apply to other Indonesian businesses and charities. An aggressive audit of military ventures and other off-budget activities should be considered.
- In addition, the police needs to be reformed and trained in non-violent methods of crowd control to act as an independent complement to the army.
SOCIETY AND CULTURE
Role of Political and Social Elite in Reform
- Projects that educate the elite on reform should be considered and supported.
- Efforts could be made to understand how the incentive structure facing the elite affects its willingness to engage in reform.
Role of Civil Society
- An important way to build Indonesian civil society is through the formation of networks of groups based on interest and expertise, both within Indonesia and
globally. Such networks could strengthen and empower civil society by making small organizations aware that they are part of a larger force for reform and could
provide opportunities for sharing ideas and expertise.
- Skills development is another important way to build civil society. Training, particularly of women and youth, could help communities develop a strong civil
society capable of social change. Different types of training programs may be appropriate to different groups and could include general occupational skills,
socio-political skills such as mediation and community organization as well as more general civics courses. This effort would require trained teams of local people
who are prepared to work with each community. International organizations could aid in building the capacity to conduct such training.
- Efforts should be considered to promote a spirit of volunteerism, especially among young people. These volunteers could play an important role in the training
of others, as suggested above.
Intergroup Tensions
- Efforts should be made to help mixed communities find ways to balance the interests of newcomers and host communities
without violence. In addition, care should be taken to ensure there is no perception that either side enjoys impunity.
- A dialogue should be encouraged and supported on how to nurture traditions of pluralism, using experiences from
Indonesia and around the world.
- Where violence has broken out, community-based dialogues should be set up in the regions in question, making use of
the mediation and conflict resolution skills of the local community, and enlisting outside support when necessary.
ECONOMICS
Macroeconomics
- Efforts must be made to find ways to represent the interests of ordinary people in economic decision-making at the
local level, and to transmit their views to the central political system.
- The Indonesian government must be supported in its efforts to stabilize the rupiah.
- To combat government underfunding, the Indonesian tax system should continue to push for higher levels of tax registration, especially among wealthy Indonesians.
Foreign Investment
- The Indonesian business sector should continue to seek FDI. Efforts should be made to strengthen the capacity of Indonesian banks to withstand the vagaries
of the international financial system.
- The Indonesian government should attempt to improve its relationship with the IMF, meeting the Fund’s demands wherever possible, while implementing
policies to mitigate any harsh effects on the Indonesian population.
Competition over Resources
- Attempts should be made to understand further the economic basis of many of the tensions between native populations and later arrivals.
- Support should be given to local governments to resolve economic disputes through previously determined mediation mechanisms. The processes could be the same throughout Indonesia and developed by the central government.
- Local community groups composed of members of all of the local populations should meet to discuss upcoming problems with respect to natural resources and development initiatives, even before the need for conflict resolution becomes apparent.
Livelihoods
- More weight should be placed on the economic welfare of marginal people in Indonesia, with a particular focus on creating sustainable livelihoods and on renewing resources. There is a need for a national consensus and coordination of these efforts.
ROLE OF NGOS
- Programs of training and education in building small organizations, in facilitation and mediation skills, and in the sustainable management of the environment would be very useful in the provinces. Existing programs should be supported and their activities increased in scale to reach a larger audience.
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