Socialist Party of Indonesia - Decline and Fall

Decline and Fall

See also: Revolutionary Government of the Republic of Indonesia

After the 1955 elections, a clear political division between Java and the outer islands opened up. This was followed by a military crisis brought about by army chief-of-staff General Nasution's plan to implement widespread transfers of officers, many of whom had built up private business interests in the regions. On 20 July 1956, the most prominent non-Javanese politician, Vice-president Hatta, resigned with effect from 1 December. Tired of the political infighting, on 28 October, President Sukarno called for an end to political parties. This would lead to his 1957 conception of “guided democracy”, which the PSI opposed.

In December 1956, several army commanders in Sumatra announced they had taken over civil government. This crisis spread and in March 1957, the military commander of East Indonesia imposed martial law over his command area. On March 1957 the cabinet resigned and Sukarno proclaimed martial law nationwide. In May 1957, PSI economist Professor Sumitro Djojohadikusumo left Jakarta for Sumatra, followed by other political figures. In January 1958, the PSI demanded a new cabinet, and the following month dissidents in Padang, West Sumatra issued an ultimatum demanding the dissolution of the cabinet within five days. Despite efforts by the PSI in Jakarta to forestall a rebellion, on 15 February a rebel government was proclaimed in Bukitinggi called the Revolutionary Government of the Republic of Indonesia (PRRI). It was headed by Amir Sjarifoeddin as Prime Minister and included Burhanuddin Harahap from the Masyumi Party and Sumitro Djojohadikusumo. Hatta and PSI leaders in Jakarta called for a negotiated settlement, but the government decided on a military solution, which defeated the rebellion by mid-1958.

Sukarno implemented his plan for guided democracy by issuing a decree restoring the 1945 Constitution. The PSI was not represented in either the new cabinet, the Supreme Advisory Council nor the National Planning Council established under the new system. Finally, in August 1960, President Sukarno formally banned the PSI and the Masyumi Party for their opposition to Guided Democracy and their alleged support of the PRRI rebellion.