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Neoliberalism' becomes empty campaign rhetoric

Neoliberalism? While many laypeople may think it's an evil ideology just as unsuited to Indonesia as communism, top polticians do not really know its essence but love saying it in their desperate bids to kill the reputation of their rivals

Pandaya (The Jakarta Post)
Jakarta
Thu, May 28, 2009

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Neoliberalism' becomes empty campaign rhetoric

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eoliberalism? While many laypeople may think it's an evil ideology just as unsuited to Indonesia as communism, top polticians do not really know its essence but love saying it in their desperate bids to kill the reputation of their rivals.

"I'd rather turn off my TV when politicians start grumbling about the dangers of *neoliberalism' and why the next government should be free from *neolib' elements," a bemused friend says.

Ironically, the anti-neolib propaganda which has been bombarding public space since the presidential campaigns unofficially started several weeks ago has served to catapult its target, Boediono, to stardom. Budiono is a low-profile American educated economist that Susilo Bambang Yudhoyono (SBY) picked as his vice-presidential running mate.

Although the hard-working fella has served different regimes as a Cabinet minister, with an undented record, and has just quit his job as the Bank Indonesia governor after joining the more prestigious race, Boediono remains media-shy.

When SBY and Boediono declared their candidacy at the Bandung Institute of Technology on May 15, anti-neolib protesters staged a comical street demonstration a few kilometers away from the tightly guarded campus.

With the famous golden arches of McDonald's, an icon of American capitalism, in the background, protesters put up images of SBY, Boediono and the President's best-known aides, such as State Secretary Hatta Radjasa, Finance Minister Sri Mulyani Indrawati, and presidential spokesmen Andi Mallarangeng, and Dino Patti Djalal.

The group humorously captioned these pictures "McBY," "McBoed," "McHatta," "McMulyani," "McMallarangeng" and "McDino".

According to economist Dradjad Hari Wibowo, many politicians do not really comprehend the essence of neoliberalism. At a recent seminar in Jakarta, Dradjad said you could call a powerful politician "neoliberal" if they prioritized macro-economic stabilization over anything else, liberalized the economy, privatized public assets and had a penchant for selling state wealth to foreign interests.

Never mind if you still don't get it, or if you just don't believe it. The fact is politicians have been trumpeting the neolib issue simply to attack their foes by portraying them as agents of global capitalism, and technocrats who glorify western economic concepts and sell Indonesia short.

So the neck and neck three-horse race for presidency has succeeded in creating a common enemy called neoliberalism, reminicent of the communism-phobia generated by the authoritarian Soeharto regime to intimidate his (potential) political enemies.

Boediono has, on some occassions, expressed bewilderment at why he has been labeled a neoliberal economist. "I graduated from a rural university and have no intention of becoming *neoliberal*," said the alumnus of Yogyakarta's Gadjah Mada University.

The anti-neolib sentiment was stirred up by leaders of Islamic parties like the Prosperous Justice Party (PKS), the United Development Party (PPP) and the National Mandate Party (PAN) to express their disappointment at SBY's decision to pick Boediono as his running mate, since Boediono is not affiliated with any political parties.

Interestingly, the Islamic parties, which each gained less than 8 percent of votes in the April 9 legislative elections, have never hesitated to swallow their pride. They forget their threat to pull out of a coalition with Yudhoyono unless he picked his running mate from their ranks.

It seems that the more conservative Muslims abhor anything "liberal". In July 2005, the Indonesia Ulema Council (MUI) raised eyebrows when it issued a fatwa that made liberalism, along with pluralism and secularism, haram (forbidden under the Islamic law).

But, obviously, this time around the political pie of SBY stands to gain is too tempting to label haram, although they know it's been "tainted" with liberalism ... er, neoliberalism.

Ironically, presidential hopeful Jusuf Kalla, who hails from a fabulously wealthy business clan, has jumped onto the anti-neolib bandwagon. On Saturday, he called on people not to vote for a candidate who embraces a free market, or who would risk seeing the country fall apart.

"Look at America," Kalla said. "They elected the wrong president, (George) Bush, who didn't know what his country really needed. Americans have seen their economy ruined."

Of course Kalla, SBY's estranged deputy, who proudly recalls the days when he resisted International Monetary Fund pressure when Indonesia's economy was in a shambles, was referring to SBY.

From the other camp, Megawati Soekarnoputri (who had Boediono as her finance minister when she became president from 2002 to 2004) seems to have refrained from attacking neoliberalism outright, for obvious reasons. Promoting populist economic "ism", she promises never to sell state assets again if elected.

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