This Indonesian Finance Minister Resigned Due to Illness

Opening a page of history, there was an Indonesian Finance Minister who fell ill and had to resign because he was no longer physically able to carry out his duties. This event occurred at the beginning of the Republic of Indonesia’s establishment. The figure in question is the Republic of Indonesia’s first Finance Minister, Samsi Sastrawidagda. Samsi resigned on 26 September 1945. That is, only about two weeks after taking office at the beginning of September. That decision was taken because of his continuously deteriorating health condition amid the country’s still very fragile economic situation. At that time, Indonesia had just gained independence without a clear financial system. There was no state budget yet, no fiscal planning, while the government’s financing needs were very urgent. In practice, the Finance Minister had to work from scratch to build the foundation of the state’s finances. Citing research from Beyond Political Skin: Colonial to National Economies in Indonesia and Vietnam (2016), amid those dire conditions, Samsi once took a crucial step that had a major impact on the young republic. He succeeded in securing funds belonging to the Dutch East Indies government that had been seized and stored in Japanese banks. Thanks to his closeness with Japanese officials, Samsi persuaded them to hand over the funds to the Indonesian government. That money was then entered into the state treasury and became one of the initial capitals for financing the republic. However, that important contribution did not last long. Samsi’s health condition continued to decline until it limited his activities. He even did not have time to work in an office in Jakarta and mostly worked from home to avoid worsening his illness. In such a situation, the heavy duties as the state treasurer were clearly difficult to carry out optimally. Until he resigned in September 1945. The health problem he experienced was actually not something new. Long before Indonesia’s independence, Samsi had several times been reported to have fallen ill. For example, in 1928, the newspaper Algemeen handelsblad voor Nederlandsch-Indië (28 September 1928) revealed that he had been hospitalised in Cimahi due to exhaustion after being active in organisational activities and establishing a financial institution. However, there were also other reports, such as Bataviaasch nieuwsblad (28 September 1928), which mentioned he suffered from mental disturbances, although there was never any firm confirmation regarding that condition. What is clear is that health issues had long been attached to him and finally became the main factor behind his decision to step down from the Finance Minister position. In fact, Samsi was no ordinary figure. According to the newspaper Het Vaderland (18 November 1925), he was one of the few Indonesians of his time who successfully obtained a doctorate in commerce from Rotterdam, the Netherlands. His career in finance was also built during the Japanese occupation era, when he held a position in the Finance Department formed by the Japanese military government in Surabaya. That experience was what led to him being trusted to fill the strategic position as the first Finance Minister after independence. After his resignation, the Finance Minister position was then continued by A.A. Maramis.