Indonesia must win back its Chinese community

Mon, 03 Aug 1998, 00:00 WIB | Source: JP

Two months have past since riots shook Jakarta and other
cities. Jusuf Wanandi, chairman of the supervisory board of the
Centre for Strategic and International Studies, looks at what
must be done to rebuild the shattered confidence of Chinese-
Indonesians.

JAKARTA (JP): This is a watershed period for Chinese-
Indonesians. The riots, looting, burning and rapes on May 13 -
May 14 have left them bewildered, rudderless and desperate. The
brutality makes many wonder whether they still have a place in
Indonesian society.

That is because these events, preceded by smaller episodes
since early last year, have connotations similar to "ethnic
cleansing" campaigns in other parts of the world. They seem to
have been planned, organized and executed with a clear objective:
to drive the Chinese-Indonesian out of the country.

If the planners of the riots wanted to scare the Chinese-
Indonesians, they have succeeded. But they have also succeeded in
hurting Indonesia itself. Most Chinese-Indonesians are now
questioning their role in their country's future economic
development.

Their business leaders had invested most of their wealth in
Indonesia. Now, most are not expanding investments because the
local economy is stagnating. Some conglomerates had made
investments in other countries, including China, but they were
small. As the picture worsens, those who pulled their money out
are looking elsewhere for opportunities.

Chinese-Indonesian professionals, who have borne the brunt of
the brutality, are job hunting in other parts of East Asia,
Australia and New Zealand. But the majority of Chinese-
Indonesians -- poor laborers, farmers, fishermen and small shop
owners -- have no option but to try to survive in the country of
their birth.

Because of history and government policies, Chinese-
Indonesians are dominant among the big conglomerates, midsize
companies and the family-run shops that are essential to the
goods distribution chain. Despite assistance to Indonesia from
the Group of Eight, the International Monetary Fund and the World
Bank, the lack of confidence of the Chinese-Indonesian community
has contributed to a deep recession. Southeast Asian Chinese, and
those of Hong Kong and Taiwan, will also be reluctant to invest
in Indonesia as long as Chinese-Indonesians stay away.

Chinese-Indonesians will only plow money into the economy
after they have regained trust in Indonesia's future. For this,
two things are required. Most vital is a full accounting of the
May riots. This means bringing to justice the real culprits,
through the courts and military tribunals.

President B.J Habibie's effort to recognize the traumatic May
events and apologize on behalf of the government is a good start.
And the creation of an independent national committee to
investigate the rapes is welcomed. The investigation must go to
the root of the problem, even if its trail leads to powerful
people.

The second requirement is a trustworthy government. Chinese-
Indonesians fail to see this in the Habibie administration. They
consider the President weak, divisive and without legitimacy.
They feel some members of his Cabinet are pursuing policies to
limit the role of the Chinese-Indonesians in the economy. That is
why it is important to hold a general election as soon as
possible.

In the medium term, there must be an open dialog on the future
status, rights and obligations of Chinese-Indonesians in the
country's national development. This should produce acceptable
policies for both the minority Chinese-Indonesians and the
pribumi, the majority native Indonesians. A healthy debate should
explore the viability of affirmative-action policies such as in
Malaysia, as well as the need for new partnerships in economic
development. For a new policy to work, all sides must honor
transparent and consistent rules. There must also be a fixed time
frame to achieve results. Only then will the outlook for all of
Indonesia's citizens brighten.

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