Post-Suharto Era - Fall of Suharto

Fall of Suharto

The Reformasi (Reformation, or Reform) of 1998 led to changes in Indonesia's various governmental institutions, reforms upon the structures of the judiciary, legislature, and executive office. Generally the fall of Suharto in 1998 is traced from events starting in 1996, when forces opposed to the New Order began to rally around Megawati Sukarnoputri, head of the PDI and daughter of the founding president Sukarno. When Suharto attempted to have Megawati removed as head of this party in a back-room deal, student activists loyal to Megawati occupied the headquarters of PDI in Jakarta. This culminated in Black Saturday on July 27, when the Indonesian military broke up the demonstrations.

These actions, along with increasing concerns over human rights violations in Indonesian-occupied East Timor, began to unsettle Suharto's normally friendly relations with Western nations Australia, Great Britain, and the United States. These further worsened when the 1997 Asian financial crisis reached Indonesia, highlighting the corruption of the New Order.

Economic instability from the crisis affected much of the country, in the form of increased prices for staple foods and goods, and lowered standards of living and quality of life. These touched off riots, many targeting ethnic Chinese-Indonesians; bolstered by the findings of Parliamentary and independent investigations, it is often theorized that these anti-Chinese riots were instigated or aided by the military to divert anger away from Suharto himself.

In West Kalimantan there was communal violence between Dayaks and Madurese in 1996, 1999 and 2001, resulting in about 500 deaths.

Growing dissatisfaction with Suharto's authoritarian rule and the rapid erosion of the economy led many, chiefly the younger generation, to renew their protests directly against the New Order. During the years 1997-1998, a massive riot broke out in Indonesia. People were burning everything within the city including cars, motorcycles, buildings, and monuments in addition to pillaging and looting from stores. This was further worsened when many were killed and raped, most of which were Indonesians of Chinese descents. No action was taken by the army or the police. In 1998, Suharto made the decision to stand before the parliament for a re-election and won. The result was considered so outrageous that students occupied the Parliament. Suharto soon stood down from the presidency, and named Jusuf Habibie (of Suharto's own Golkar party) his successor. Considered the unseen power behind the throne, General Wiranto of the Chief of Staff over the military that was central to the New Order, is believed to have been behind the decision of Suharto to step down.