Fri, 29 May 1998

Habibie's burdens

B.J. Habibie is only the third president in Indonesia's 50- year postcolonial history, but he assumes office with two heavy burdens that could make his tenure brief.

Habibie's first problem is Indonesia's months-old economic crisis. Touted only a year ago as a model of poor-country development, this archipelago nation of 210 million is growing poorer by the day. Its currency is worth a quarter of its 1977 value, factories have pretty much stopped working and unemployment is on the rise. Two weeks of political unrest and one night of vengeful rioting have scared away whatever investors remained.

Habibie has pledged to adhere to an economic restructuring program approved by the International Monetary Fund. But at best, such a program will not bring the quick relief many Indonesians expect, and Habibie's record of support for state-sponsored industrial boondoggles has left many people skeptical of his reform credentials.

The new president's second burden, in a country agitating for more democracy, is his close association with the now discredited former president, Soeharto. His recent conversion to the cause of clean government and antinepotism again remains to be proved.

Yet many Indonesians seem ready at least to give Habibie and his new government a chance. The spasm of mob looting and arson that caused uncounted damage and sent expatriates fleeing frightened many people and left them welcoming at least an interval of calm. And even many democracy advocates say a period of economic stabilization should precede elections.

How long that period should be remains much in dispute. Some leading opposition figures, and even some members of Habibie's cabinet, are calling for a vote within a year. Other government officials seem to think that Habibie can serve the full five-year term Soeharto recently had awarded himself.

Either way, Indonesians will be looking for early and meaningful signs of political reform, including a freeing of political prisoners, an end to press censorship and the legalization of peaceful political activity by a broad spectrum of parties and organizations. A clear commitment to a transition to democracy would give Habibie his best shot at overcoming his handicaps.

-- The Washington Post