Suharto's banana republic

Article Abstract:

Australia could experience severe difficulties if Indonesia disintegrates politically and economically. Australia and Indonesia jointly manage border issues with Papua New Guinea and the oil-rich Timor Sea. The Australian government is friendly with the Indonesian government of Suharto. Hyperinflation could result from a complete financial collapse and blame could be placed on Indonesians of Chinese descent who control approximately 66% of the assets but comprise only 3% of the population. This situation could cause several refugees to emigrate to Australia.

Intnl Affairs & Finance, National Security and International Affairs, Analysis, International relations

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East Timor tragedy masks potential economic disaster

Article Abstract:

The political situation in Indonesia and East Timor will affect both the economic and military policy in Australia and Indonesia. Australia is facing spending billions of dollars as a peacekeeping defense force, especially if East Timor becomes another Vietnam, or if Australia's security is threatened. With capital markets withdrawing support, Indonesia could be headed toward a major financial crisis.

Australia, Indonesia, National Security, Defense Related Activities, National defense, East Timor, Military policy, Defense spending, Timorese foreign relations

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Indonesia on the brink of disaster

Article Abstract:

A serious depression in Indonesia is forecast by Paul Keating, former Prime Minister of Australia. The rupiah's steep fall in value makes imports of foreign goods too expensive, and devalues assets. For the ethnic Chinese in Indonesia, subjected to violent attacks, the wealthier can afford to leave, but the average shopkeeper will not have that capability.

Administration of General Economic Programs, Intnl Economic Policy, Forecasts and trends, Crimes against, Chinese (Asian people), Keating, P.J., Chinese in Indonesia

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