Indonesia: fighting the IMF

May 10, 2000
Issue 

Thousands of people protested in Indonesia on April 1 against policies demanded by the International Monetary Fund (IMF) in exchange for loans — these include cuts to subsides on fuel, public transport, electricity and education. An increase in prices on basic needs will drastically affect the lives of millions of poor Indonesian people.

Concerned that political instability could result, the IMF advised the government to postpone the cut to fuel subsidies and the government agreed to delay implementing that measure. However, it said that cuts to electricity, telephone, education and transport subsidies would go ahead.

All major parties in Indonesia's parliament and President Abdurrahman Wahid support the IMF "reforms". However, the newly formed People's Committee for Justice (KEKAR) has vowed to continue the campaign to force the abandonment of the austerity measures.

The committee has representatives of the Indonesian National Front for Workers Struggle (FNPBI), the National Student League for Democracy (LMND), the Indonesian Workers Prosperity Union (SBSI), the Workers' Committee for Reform Action (KOBAR), Anti-Fascist and Racist Action (AFRA) and Tionghoa Youth Solidarity for Justice (Simpatik).

The FNPBI unions are demanding a 100% increase in the minimum wage, and have rejected a government offer of a 25-30% rise. The LMND and other student groups will continue to protest cuts to the education budget which will increase fees at some state universities by 300%.

The People's Democratic Party (PRD) has launched an extra-parliamentary campaign for an alternative economic program which includes the seizure of the illegally accumulated assets of depose dictator Suharto and his cronies, and a progressive income tax.

Australian companies and banks in the region are major exploiters of workers and resources. The Australian government provides military and other aid to governments that repress dissent. The Australian people can play a vital role by exposing and opposing the government's and big business activities and by giving solidarity to the people's struggles in Indonesia.

Resistance supports the solidarity group Action in Solidarity with Indonesian and East Timor (ASIET), and helps to build solidarity campaigns in support of the Indonesian and East Timorese peoples. ASIET has campus clubs around the country. Call the ASIET national office on (02) 9690 1032 or your local Resistance branch to find out how to get involved. Visit ASIET's web site at <http://www.asiet.org.au>.

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