MPR should convene to pick new president

MPR should convene to pick new president

The nation is contemplating holding fresh elections -- which
takes time -- or an extraordinary session of the People's
Consultative Assembly (MPR) to choose a new president and vice
president. Jusuf Wanandi, chairman of the Supervisory Board of
the Centre for Strategy and International Studies, opts for the
latter.

JAKARTA (JP): Indonesia is fortunate to have ended the 32-year
rule of president Soeharto without much bloodshed. The succession
could have degenerated into civil war or anarchy. Although the
process of political change is far from over, the worst seems
past. This is due to the restraint shown by the conflicting
forces, especially Soeharto himself, the Armed Forces command,
opposition leaders and students.

But Indonesia must now deal realistically with its unfinished
political agenda. Instead of having a new president and vice
president elected by a special session of the country's highest
constitutional authority, the People's Consultative Assembly,
Soeharto elevated his vice president, B.J. Habibie, to replace
him.

This transfer of power will not bring about the necessary
reforms demanded by the public. Habibie was hand picked by
Soeharto and has no power base of his own. He is a controversial
figure without experience as a political leader. He is opposed by
many groups with influence in Indonesia. Military leaders are not
happy with his presidency; they accepted him only because it was
Soeharto's wish.

As a result, Habibie does not have the support needed to rally
the Indonesian elite and to get people to take the bitter
medicine of economic reform. Although there are some good
economic managers in his Cabinet most of its members were well-
known figures in the Soeharto regime. The government thus lacks
credibility.

Moreover, Habibie himself is not trusted by the financial
markets because of his excessive spending on inefficient prestige
projects while he was a Cabinet minister under Soeharto, and
because of his unconventional ideas about economic policy.

In his first statement when he announced his Cabinet, Habibie
did not mention the important role in Indonesia of multinational
companies or big domestic firms. This raised a lot of questions
about where they fit into Habibie's policies, causing doubts that
he can develop the strategies for overcoming Indonesia's
deepening economic crisis.

Given the situation's gravity and Habibie's lack of public
support, the nation has two options: to hold a special session of
the People's Consultative Assembly or a general election for a
new president and vice president as soon as possible.

If a general election is to be democratic, however, it will
take at least a year to prepare. Laws that favor the ruling
Golkar alliance and disadvantage its challengers have to be
rewritten. By the time this is done it will be too late to save
the economy, which faces a dangerous meltdown in the next month
or so.

That is why Indonesia should opt for the only other
constitutional alternative: the House of Representatives should
call a special session of the Assembly within a month. It would
elect a new president and vice president for a fixed term of two
years with a specific mandate to revive the economy and hold
elections in line with the reforms expected by the public.

Indonesia has a range of leaders who would make capable
presidents or vice presidents to carry out this task.

In the meantime, the unity of the Armed Forces is critical. In
a country as large and diverse as Indonesia, the Armed Forces is
the guarantor of political stability as well as of national
security.

Under the Armed Forces commander, Gen. Wiranto, there is now a
stronger basis for military unity after a period of uncertainty
before and during the succession struggle. But the military must
respond wisely to the pressures for reform if it wants to
preserve its influence in the future.

Indonesians must never again take it for granted that their
leaders will naturally undertake reforms. The government must be
made accountable and subjected to public scrutiny.

Only with new and credible leaders will Indonesians accept the
harsh medicine of austerity and structural change needed to
overcome the economic crisis. And only with such leaders will
investors and creditors provide the money that is critically
important for the country's revival.

This article first appeared in the International Herald
Tribune.