Abstract

The fall of Soeharto's long-entrenched authoritarian New Order regime in 1998 raised hopes among many about a transition in Indonesia to a liberal democratic system of politics. However, Indonesia's new democratic institutions have been captured and appropriated by predatory interests, many of which were nurtured and incubated in the New Order. These have merely now reconstituted and reinvented themselves in Indonesia's new democracy. The article assesses these developments in the light of many of the assumptions of the still influential and growing 'democratic transitions' literature and on the basis of case studies in two Indonesian provinces, Yogyakarta and North Sumatra. These show that gradual reform since the fall of Soeharto has allowed the rise in political fortunes of those formerly entrenched in the lower levels of the New Order's formerly vast system of patronage, including its political entrepreneurs and henchmen. On the other hand, those social forces that were marginalized under the New Order, for example organized labour, remain politically excluded.

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