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...Asep, a Jakarta parking-lot attendant, rejoiced in 1998 when Indonesian strongman Suharto was overthrown after three decades of authoritarian rule. But democracy hasn't proved to be quite the boon he and so many other Indonesians expected. In some ways, says Asep, his life is worse now than ever before. Under Suharto, he says, at least he only had to bribe one person?a stadium security officer?for the right to manage the lot at Senayan Stadium. But now, Asep complains, he is routinely approached by people claiming to be policemen, soldiers, sports department officials and political-party officers...

Author: /time Magazine | Title: Will Megawati Be Ousted? | 4/26/2004 | See Source »

...since she became President. I thought I'd be able to earn a better income, but look where I am now. I earn about the same amount as I did before but everything is twice as expensive." Says Hans Vriens, managing director of consulting firm APCO Indonesia in Jakarta: "Megawati has lost the mandate of heaven...

Author: /time Magazine | Title: Will Megawati Be Ousted? | 4/26/2004 | See Source »

...administration is brutally suppressing one of them in the western province of Aceh. Her response to the threat of Islamic militancy has been perceived in some quarters as indecisive, even following the deadly Bali bomb blasts and last year's attack at the JW Marriott hotel in downtown Jakarta. She encouraged a competent and thorough investigation of the Bali bombings, which led to the arrests of more than 30 Muslim militants and key players in the network of al-Qaeda-linked Jemaah Islamiah (JI). But Indonesia is the world's most populous Muslim nation. If Megawati does not move cautiously...

Author: /time Magazine | Title: Will Megawati Be Ousted? | 4/26/2004 | See Source »

...crater caused by the 1997 Asian financial crisis. Its annual GDP growth rate has averaged an anemic 3.4% since 1999, compared with 6.5% for all other developing East Asian countries, according to the World Bank. Indonesia's rate is expected to rise to 4.8% this year, but David Nellor, Jakarta-based senior resident representative for the International Monetary Fund (IMF), believes the economy ought to be growing as much as 7%. "There has been progress, but it has not yet come to a critical mass that will support growth or investment to achieve Indonesia's potential," he says. Meanwhile, prices...

Author: /time Magazine | Title: Will Megawati Be Ousted? | 4/26/2004 | See Source »

...verdicts were incorrect, either because judges misunderstood the law or disregarded it. Foreign bankers and investors often have trouble enforcing contracts in Indonesian courts. In one case, a court last year nullified a $180 million loan made by a syndicate of foreign lenders to property developer Danareksa Jakarta International to construct the Jakarta Stock Exchange building, saying the loan circumvented Indonesian borrowing laws and therefore need not be repaid. The creditors are appealing, but one, U.S. investment firm Lone Star, is so fed up that it has vowed not to pursue new business in Indonesia. "Indonesia is never really going...

Author: /time Magazine | Title: Will Megawati Be Ousted? | 4/26/2004 | See Source »

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