The blanket guarantee introduced in 1998 in response to the emerging banking and economic crisis resulted in $50 billion of losses to the general public. The government has now introduced a law that allows the phasing out of this blanket guarantee, but also allows its reinstatement in the event...

The dramatic fall of the rupiah has been driven largely by panic, rather than by careful analysis of Indonesia's economic fundamentals The catalyst for the panic appears to have been a sudden reassessment of the exchange rate risk faced by unhedged domestic firms and foreign investors This...

Anne Booth (1998), The Indonesian Economy in the Nineteenth and Twentieth Centuries: A History of Missed Opportunities, Macmillan, London, and St Martin's Press, New York, pp. xvi + 377. Paper: US$ 19.95; cloth: US$ 79.95. J. Thomas Lindblad (1998), Foreign Investment in Southeast Asia in the...

The new government of Susilo Bambang Yudhoyono (SBY) has been performing well relative to the standards of recent governments. The confidence of the business community in Indonesia's near-term future continues to improve, resulting in rapid growth of investment activity, steady gains on the...

Indonesia's crisis recovery program has failed badly in relation to the two key objectives of development economics policy making: efficiency and equity. The economy went into severe recession within a few months of the IMF appearing on the scene, and six years later output was little higher...