VILLAGE GOVERNMENT AND RURAL DEVELOPMENT IN INDONESIA: THE NEW DEMOCRATIC FRAMEWORK

The political reforms that began in Indonesia in 1998 have created new opportunities for a revised relationship between state and community, replacing the New Order's centralistic and uniform framework with local-level institutions that are strong and responsive. This paper presents the new legal framework for the democratisation of local-level politics and village institutions. Representative councils have been elected in all Indonesian villages, and the village head is no longer the sole authority in the community. Village governments are provided with far-reaching autonomy and do not need the approval of higher authorities to take decisions and implement policies. However, decentralisation and democratisation are necessary but not sufficient preconditions for developing the countryside and alleviating poverty. An active government and civil society engagement must ensure that regulations are not distorted during implementation, and that ordinary people are included in public policy making and local governance.