Corruption in Indonesia: A Curable Cancer?

Despite the ubiquitous nature of corruption in Indonesia, this article will focus only on governmental or bureaucratic corruption. Governmental corruption differs from other kinds of corruption in at least two ways: 1. it involves the buying and selling of influence or power over public policy in ways that benefit only particular individuals or groups (e.g., families, cronies and clients), and 2. the corrupt behavior is more easily protected behind a facade of legality because of the corrupt official's position and identity (the concept of legalized corruption). This paper begins with a brief historical sketch of the origins of Indonesia's corruption problem, concentrating on Soeharto's New Order (1966-1998), and follows with a discussion of the New Order's impact on future efforts to curtail corruption. Next, reforms are suggested and their prospects considered. Finally, it is argued that the character of the new regime of President Abdurrahman Wahid will largely determine whether grand corruption (or top-level corruption that paralyzes or distorts development) will be controlled in the future.