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Congressional Research Serv!c~
Infer ning the Ieg~sIat~ve debate since 1914


Updated October 23, 2024


Indonesia


Overview
With over 280 million citizens, Indonesia is the most
populous country in Southeast Asia, the world's most
populous Muslim-majority nation, and the world's third-
largest democracy (after India and the United States). It has
the world's 16thlargest economy-the 7th-largest when
ranked by purchasing power parity. It straddles vital sea
lanes and borders the Strait of Malacca, one of the world's
busiest trade routes, as well as the Indian Ocean and the
South China Sea. Over the past 25 years, Indonesia has
become  a robust democracy, holding five direct presidential
elections, each considered by international observers to
have been largely free and fair. In the most recent, held in
February 2024, Prabowo Subianto, a former Defense
Minister who served as commander of the Indonesian
military's special forces in the 1990s, was elected to
succeed President Joko Widodo. Prabowo took office in
October 2024, and is to serve a five-year term.

The U.S.-Indonesia relationship has broadened over the
past two decades, with closer military and counterterrorism
cooperation and a range of new educational, environmental,
and energy programs. Congress has played a key role in
guiding the relationship, including by restricting
interactions with security services accused of rights abuses,
promoting cooperation on issues such as maritime security
and counterterrorism, and conducting oversight of programs
including Indonesia's Millennium Challenge Compact.

Indonesia's foreign policy is guided by its historical role as
a leader of the Non-Aligned Movement, and successive
Indonesian governments have resisted aligning too closely
with the United States or others, including the Peoples
Republic of China (PRC or China). Indonesia is an active
member  in regional diplomatic institutions, and served as
the 2022 chair of the Group of 20 (G-20) and the 2023 chair
of the Association of Southeast Asian Nations (ASEAN).

Some  87%  of Indonesians are Muslim, with the vast
majority subscribing to moderate, syncretic forms of Sunni
Islam. Religious diversity is enshrined in the constitution.
Some  observers express concern about growing political
influence of conservative religious groups. Non-Sunni
Muslims  and other religious minorities have been targets of
violence, and some conservative groups have organized
mass demonstrations against non-Muslim politicians.
Indonesia also has a history of violent extremism: several
bombings  in Jakarta and Bali targeted Westerners in the
2000s, and smaller-scale attacks have occurred periodically.

Poltcal Background
On February 14, 2024, over 200 million Indonesians voted
in presidential, parliamentary, and local elections-the
world's largest one-day democratic exercise-and selected
Defense Minister Prabowo as president. Prabowo, the ex-


son-in-law of the country's former authoritarian president
Suharto, is a former general who was removed from the
military in 1998 for allegedly torturing political activists,
and who was  implicated in 1999 violence in Timor-Leste
(East Timor). A scion of a wealthy Indonesian family who
spent much of his youth overseas, Prabowo campaigned on
promises to continue the economic policies of President
Widodo,  including prioritizing growth in underdeveloped
regions and promoting the mining and processing of critical
minerals important to clean-energy supply chains. He chose
Widodo's  eldest son, Gibran Rakabuming Raka, as his Vice
President, and announced a cabinet that included members
of nearly every political party in Parliament.
Prabowo  has advocated a more active foreign policy for
Indonesia, speaking among other things of playing a role in
a post-conflict Gaza. As Defense Minister, he led the
expansion of military exercises with the United States,
although his first overseas trip after the election was to
China. Many  analysts say the overall tenor of Prabowo's
foreign policy remains unclear, including his approach to
U.S.-China tensions and trade and investment issues.
Figure  I. Indonesia


President Widodo tacitly supported Prabowo s campaign,
and analysts say he may play a behind the scenes role in the
new government.

U.S.   Engagement wIth Indonesia
The United States engages Indonesia across a wide range of
issues, encouraging Indonesians to deepen their democratic
institutions, promote religious tolerance and the rule of law,

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