Muklis Ali and Dean Yates, Jakarta – Indonesia's president insisted on Thursday there were no quick fixes to the country's many woes and said crippling a rebel movement in Aceh was vital to ending violence that has killed thousands in the troubled province.
Presenting a progress report to the top legislature, Megawati Sukarnoputri defended her first year in power and said the world's most populous Muslim nation had overall become a safer and more stable place since she took over.
Megawati made only minor reference to fighting terrorism, repeating her previous statements that Indonesia was committed to the international war on terror. She gave little attention to the small extremist Islamic groups that have given rise to fears the archipelago might become a hotbed for violent militants.
"We have to be realistic in that there is no instant and quick solution for the complex problems we are facing now. It's impossible for anyone to wrap up this big and heavy task in a situation which is chaotic and full of suspicion," Megawati said.
"[But] the threat of national disintegration that has shadowed us in the past several years ... has eased." Responding to critics of the International Monetary Fund's role in economic policy, Megawati said Indonesia had to work with the Fund to boost investor confidence. She warned her people of more pain ahead as the government tried to implement hard financial reforms under programmes agreed with the Fund.
She did not announce any fresh economic initiatives to boost foreign investment, which has dived partly over fears about the country's poor legal system and endemic corruption.
Criticised as passive leader
Megawati was appointed president last year by the 700-member top legislature, the People's Consultative Assembly (MPR), after it sacked her predecessor Abdurrahman Wahid for incompetence.
She marked one year in office last week, drawing criticism for passive leadership that has left some tough reforms on the shelf, although that cautious style has ushered in much-needed political stability and helped stabilise the rupiah.
On Thursday small groups of protesters gathered in front of the MPR and stock exchange, accusing Megawati of failing to push reforms and calling for her to resign.
Legislators urged the government to work harder, but said they appreciated Megawati's honesty about the challenges ahead.
"The progress report was comprehensive, honest ... she admitted all of the weaknesses," said Amien Rais, head of the MPR and who has often criticised Megawati and her government.
Parliament speaker Akbar Tandjung and head of the Golkar party, the second biggest in Megawati's coalition, added: "If we look at the economic and security sides, the government's performance is unsatisfactory. But the government has admitted the obstacles it faces." Megawati's speech coincided with the opening of the assembly's 10-day annual session.
Martial law for Aceh?
Underscoring her priority on national security, the daughter of founding President Sukarno focused the early part of her 20-page speech on efforts to resolve conflict in Indonesia. She said the government had to take tougher action against rebels in Aceh on the northern tip of Sumatra island.
"The government has considered several policies which will be aimed first to revive security by paralysing the armed separatist GAM, protecting the people and restoring the functions of [local governance]," she said in her speech. She accused the Free Aceh Movement (GAM) of a range of "terror acts" such as kidnappings and burning schools.
The cabinet is scheduled to discuss new Aceh policies on Monday, including whether a civil or military emergency should be imposed and whether Jakarta should scrap peace talks. Officials have said the policies could be unveiled after the cabinet meets.
She said conditions were calmer in Papua province in the east, where a low-level separatist rebellion has simmered for decades. Security had also improved in the strife-torn Moluccas islands, an area hit by Muslim-Christian fighting, she said.
Megawati stressed the importance of the IMF-led economic reform programmes to boost confidence in Indonesia's economy, which has struggled to recover from the Asian financial crisis. Critics including a cabinet member have demanded the Fund leave, saying its economic prescriptions were not effective.
"In relation to working together with the IMF, I emphasise that during this difficult transitional period, we certainly need that cooperation to boost confidence in our macro economy and monetary [conditions]," Megawati said.