Comment on “Making Economic Policy in a Democratic Indonesia: The First Two Decades”

• Author: Kosuke Mizuno
• DOI: http://doi.org/10.1111/aepr.12309
• Published date: 01 July 2020
• Date: 01 July 2020

Comment on “Making Economic Policy in a

Democratic Indonesia: The First Two

Decades”

Kosuke MIZUNO

1,2

†

1

University of Indonesia and

2

Kyoto University

JEL codes: D72, E02, H11, O53

Basri and Hill (2020) examine the effects of the current phenomenon of authoritarian

populism on Indonesia. Within a climate of authoritarian populism, one can observe a

retreat from economic liberalism and the increasing appeal of the anti-globalization move-

ment. Basri and Hill analyze and elaborate on the effects of the present situation alongside

Indonesia’s responses to it using data derived from exit polls after the election, Statistics

Indonesia (BPS), and the World Bank. Their work reflects on the 2019 Indonesian elec-

tions, as well as economic and changes in governance since the Asian Financial Crisis.

Basri and Hill conclude that Indonesia has navigated the transition from authori-

tarian to democratic rule quite successfully. Thus far, Indonesia is not traveling down

the path of populism and economic illiberalism. In addition to the personal appeal of

the candidates, their party machines, and a variety of local factors, a mix of economic

and religious/identity factors are at work in the electoral outcomes. Generally, I agree

with these conclusions.

Basri and Hill explain that it might have been expected that Indonesia would be a

more likely candidate to join the ranks of authoritarian populism. While the country

has indeed become more openly Islamic, in 2019 the incumbent secular/moderate can-

didate was reelected as president. Basri and Hill explain the factors that brought about

this electoral result. The factors and strategies that led to Jokowi-Ma’ruf Amin’s (JKW-

MA) camp’s success in winning the election can be easily understood with hindsight.

The opposition leader, Prabowo Subianto, demonstrated stronger populist, authoritar-

ian and Islamist tendencies. Alongside his vice-presidential running mate, Sandiaga

Uno, Subianto received about 45% of the votes in the 2019 election. Indonesia was cer-

tainly faced with challenges to the status quo by the brewing sentiments of populism,

authoritarianism and Islamism. To counter these challenges, the Jokowi camp under-

took many effective strategies. One of them was to choose Ma’ruf Amin, a prominent

conservative ulama, as their candidate for vice president. This led to JKW-MA’s

†Correspondence: Kosuke Mizuno, School of Environmental Science, University of Indonesia Jl.

Salemba Raya No. 4, Kampus UI Salemba Jakarta, 10430 Indonesia. Email: mizuno@cseas.kyoto-

u.ac.jp

© 2020 Japan Center for Economic Research 237

doi: 10.1111/aepr.12309 Asian Economic Policy Review (2020) 15, 237–238