Indonesia Struggles With Political Decentralization

Indonesian President Susilo Bambang Yudhoyono visited East Kalimantan province from Oct. 23 to Oct. 24, the Jakarta Globe reported Oct. 22. During the visit, Yudhoyono inaugurated eight infrastructure projects as part of the country's "master plan" for economic development through 2025, known as MP3EI.

After former President Suharto's fall, Jakarta spent the next decade decentralizing political power in an effort to preserve the nation's integrity. Now, as Indonesia looks to transform itself from a natural resources exporter to an industrial manufacturing hub (as called for in MP3EI), a degree of recentralization is likely needed to facilitate long-term strategic planning. However, in pursuing centralization, the government will have to grapple with divergent local interests.