Suharto Opens Door to Reform, But Remains In Power Amidst Growing Protests and Economic Crisis

Strategic Insights -

The 76-year-old Indonesian president, Suharto, has announced the formation of a reform committee to explore potential changes to the country's government and economy. However, he ruled out stepping down, stating that doing so would create a power vacuum and undermine the nation's stability. This move has sparked a mixed reaction, with some welcoming the initiative as a step towards much-needed reforms, while others see it as a desperate attempt by Suharto to cling to power.

The protests in Jakarta have been ongoing for several months, with students and opposition leaders demanding Suharto's resignation. The movement has gained momentum, with millions of Indonesians expected to take to the streets on Wednesday to push for his ouster. The protests have been marked by violence, with over 500 people killed and 5,000 buildings destroyed in the worst riots in decades.

Key Takeaways:

  • Suharto has announced the formation of a reform committee to explore potential changes to the country's government and economy.
  • The president has ruled out stepping down, stating that doing so would create a power vacuum and undermine the nation's stability.
  • The protests in Jakarta have been ongoing for several months, with students and opposition leaders demanding Suharto's resignation.
  • Millions of Indonesians are expected to take to the streets on Wednesday to push for his ouster.
  • The protests have been marked by violence, with over 500 people killed and 5,000 buildings destroyed in the worst riots in decades.
  • The movement is led by students, intellectuals, teachers, professionals, religious groups, and some prominent former government officials.
  • The reform movement wants to bring clean government to Indonesia, end nepotism and corruption, and undo Suharto's family control of the economy.
  • President Clinton has urged Indonesians to decide who should lead the country, but has stopped short of calling for Suharto's resignation.
  • The military has maintained its support for Suharto, but opposition leader Amien Rais has vowed to put 1 million people on the streets of Jakarta to demand his resignation.

Statistics:

  • Over 500 people killed in recent riots
  • 5,000 buildings destroyed in the worst riots in decades
  • Estimated 1 million people expected to take to the streets on Wednesday to demand Suharto's resignation
  • Indonesian economy has been hit by a 61% decline in the value of the rupiah against the US dollar in the past 12 months
  • Indonesia's foreign exchange reserves have dropped to $17 billion from $22.5 billion in April 1997

Sources:

  • San Jose Mercury News (San Jose, Calif.)
  • Knight Ridder/Tribune Information Services
  • World Wide Web site of the Mercury News at http://www.sjmercury.com/