Calvin Guswidi Putra

Mrs Diane Fennell

Humanities 10.2

January 24 2018

98

Riots, mass killings, discrimination, chaos, rape, stealing, fire, economy free fall, change

of leader and massive destructions, these are the different incidents that happened throughout a

week in may for Indonesia. May 1998 Riots, a tragedy in the past that could never be forgotten for

its heroic movement and its anarchy. Suharto was put leader as Sukarno was stepping down from

his responsibilities. He was expected with high standards, to turn around the Indonesian economy,

fix the foreign relations and according to Landler Mark “Bring the 200 million populated Indonesia

comprising 300 ethnic groups, speaking 250 Languages together and inhabiting about 6,000

islands spread over a 3,500-mile archipelago”. This was no easy task for any leader but Suharto

was up for the job. After reigning for 32 years a massive riot broke out and impacted Indonesia

heavily, the question that people are wondering is, how did the 1998 riots affect Indonesia’s

economy, how did the riots affect the social relations Indonesia had with other countries and how

did the government try to fix this situation?

Being a man of discipline and having the background being in the military, Suharto set up

a lot of rules that was mostly based on the Pancasila which kept Indonesia economically prosperous

for almost all of the 32 years that he reigned. According to Fadillah Rahmadian, “The dollar

exchange rate was under 1000 Rupiah every year, compared to today’s dollar exchange rate of

15000 Rupiah.” As the tensions were heating and the riots were rising, Indonesia was not prepared

for the biggest economy downfall that would be recorded in Indonesian history. According to
Investments Indonesia “In a matter of weeks the dollar exchange rate flew up to a whopping 16000

Rupiah mark from a 1000 Rupiah beginning.” This was mainly caused because the Chinese

Indonesian people were targeted and attacked by the rioters. According to Tjie Yen Nie “They

were targeted to be raped, burnt, publically shamed, thrown glass and thrown rocks at.” The

country was basically self destructing itself as according to Commonwealth Parliament “They

were killing the people that controlled 80 percent of private businesses in Indonesia.” A lot of

people lost their jobs, their businesses, investments, shops, workplace, identity and lives. Which

brought the economy to the lowest that it has ever been. It surely affected the economy negatively,

how did it affect the social relations?

In the Suharto period Indonesia was a closed country and did not receive a lot of aid from

other countries because of the growing economy that Indonesia was going through. Indonesia only

connected with other foreign countries in trade until they found the “ASEAN organization in 1967

along with foreign countries such as, Malaysia, Singapore, Thailand and Philippines” according to

Association of Southeast Asian Nations (ASEAN). This then hone their economic growth, social

progress and cultural development of each of their own countries. Founding this organization was

also a benefit for Indonesia as now their relations with the big countries such as US, Britain,

Australia, France and Japan has improved. Back in the Sukarno period the US were afraid that

Indonesia would take part and follow the anti imperialism movement that China and the Russians

were doing. Sukarno was active in the PKI (Partai Komunis Indonesia) movement that happened

in Indonesia. According to US Promoted Close Ties to Indonesian Military as Suharto's Rule Came

“As soon as Suharto became leader he decided to destroy that group of people so called the PKI.

The US saw this as an opportunity to be close partners with Indonesia.” This was a brilliant move

from Suharto as they were able to get 4 million dollars yearly from the US as they built a great
bond, but was it worth it for the lives that was lost? These riots also helped Indonesia with the

social relations of other countries such as Portugal. In 1999 Indonesia and Portugal restored their

diplomatic relations with a treaty, as the Indonesians broke their relations after the attack of East

Timor, killing 200 000 people, which was commanded by Suharto to get their natural gas. “Some

of the Americans were also brave enough that they have came to Indonesia to document every

piece of action in Indonesia” examples could be seen in oo1ooo1oo. The Fall of Suharto, May

1998 Documentary. The Americans broadcasted what was happening in Indonesia and also

sending aid to control the crisis. Foreign countries have urged their citizens to leave Indonesia,

such as European countries, United States, United Kingdom and France citizens left. According to

Pike John “They were aided by the military for their protection and urgently brought back to their

country.” For sure the government would immediately take action on this problem. However how

did the government react and how did they try to fix the country?

The chaos unfolded with no warning which made the country automatically panic, citizens

not knowing what to do and foreigners were all quickly trying to find aid in their embassies and

trying to find a way to get out of the country. “As the country was in anarchy, the government was

lounging around in the MPR and DPR offices as their office was surrounded by college students

and their roofs filled with flags and college students standing, protesting” examples could be seen

in oo1ooo1oo The Fall of Suharto, May 1998 Documentary. All of this was happening when

Suharto was visiting Egypt, listening to the problem that was unveiling in his country. Suharto

decided to cut his trip and go back to Indonesia to fix his country which he would loose power in

a matter of weeks. Suharto arrived in Indonesia and was greeted with furious rioters, therefore his

first approach to this disaster was to cancel the rising price of fuel and electricity so that he could

regain control from the people who could not afford these rising items. According to Tjie Yen Nie
“A lot of companies have gone bankrupt and a lot of people have not been able to buy food for

their families and daily necessities needed so they had to keep on purging.” This action still did

not bring peace to the country as everybody still wanted Suharto to be taken down. Suharto uses

the power of his army as he dispatches an army of soldiers armed with guns, teargas, tanks, heavily

armored vehicles and fire trucks. According to oo1ooo1oo. The Fall of Suharto, May 1998

Documentary “The army was greeted with the protesters and they were all having a good time

together, it did not look like they were fighting as they were all sharing laughs and smiles together”.

At this moment the protesters feel that the army has been in their side and felt that the army does

not with Suharto anymore and they are neutral, as they seem as they are fighting for the nation

now not for Suharto. Suharto’s work colleagues, and the police has given their opinions on this

situation and they have hinted that Suharto should be stepping down This made the protesters glad

and feel that the government has listened to them. Then on the following day Suharto has hinted

the citizens that it was time for him to step down making these protestors more joyful. According

to Tjie Yen Nie “Then at the 21st of May Suharto finally stepped down from his position and he

was replaced by the vice president/successor BJ Habibie.”

After Suharto reigned for 32 years he has been able to exceed expectations with the

economic and social relation results that he was able to fix. As the crisis struck Indonesia, he had

great plans to bring peace to his country so he could regain his sovereignty. However, the hearts

of the society wanted him down which lead to today’s present Indonesia.
 Works Cited

Primary Sources:

Nie, Tjie Yen, and Calvin Guswidi Putra. “1998 May Riots Interview.”

oo1ooo1oo. “The Fall of Suharto, May 1998 [1 of 4].” YouTube, YouTube, 26 May 2013,

www.youtube.com/watch?v=WQ_F0yM6ii4.

oo1ooo1oo. “The Fall of Suharto, May 1998 [2 of 4].” YouTube, YouTube, 26 May 2013,

www.youtube.com/watch?v=UrumfpOBDBs.

oo1ooo1oo. “The Fall of Suharto, May 1998 [3 of 4].” YouTube, YouTube, 26 May 2013,

www.youtube.com/watch?v=IDRLPDfSiEQ.

oo1ooo1oo. “The Fall of Suharto, May 1998 [4 of 4].” YouTube, YouTube, 26 May 2013,

www.youtube.com/watch?v=inF9qvYV48M.

Landler, Mark. “UNREST IN INDONESIA: THE OVERVIEW; Indonesian Capital Engulfed by

Rioting.” The New York Times, The New York Times, 15 May 1998,

www.nytimes.com/1998/05/15/world/unrest-in-indonesia-the-overview-indonesian-

capital-engulfed-by-rioting.html.

Secondary Sources:

“Association of Southeast Asian Nations (ASEAN).” Nuclear Threat Initiative - Ten Years of

Building a Safer World, www.nti.org/learn/treaties-and-regimes/association-southeast-

asian-nations-asean/.

Commonwealth Parliament, and Parliament House. “Crisis in Indonesia: Economy, Society and

Politics.” Home – Parliament of Australia, CorporateName=Commonwealth Parliament;

Address=Parliament House, Canberra, ACT, 2600; Contact= 61 2 6277 7111, 19 Feb.

2013,
 www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/

Publications_Archive/CIB/CIB9798/98cib13.

Fadillah, Ramadhian. “Ini Nilai Tukar Rupiah Untuk 1 Dollar AS Di Zaman Presiden

Soeharto.” Merdeka.com, 13 Aug. 2015, www.merdeka.com/peristiwa/ini-nilai-tukar-

rupiah-untuk-1-dollar-as-di-zaman-presiden-soeharto.html.

Investments, Indonesia. “Reformation; New Challenges & Changes for Indonesia.” Indonesia-

Investments, www.indonesia-investments.com/culture/politics/reformation/item181.

Investments, Indonesia. “Suharto's New Order: Development of Indonesia under Authoritarian

Rule.” Indonesia-Investments, www.indonesia-investments.com/culture/politics/suharto-

new-order/item180.