Southeast Studies. Vol. 25, No.3, December 1987

The Role of Ethnic Chinese Minority in Developntent: The Indonesian Case

Mely G. TAN*

As recent writIngs indicate, the term Introduction more commonly used today is "ethnic Chinese" to refer to the group as a Despite the manifest diversity of the whole, regardless of citizenship, cultural

ethnic Chinese in Southeast Asia, there orientation and social identification.2) is still the tendency among scholars The term ethnic or ethnicity, refers to focusing on this group, to treat them a socio-cultural entity. In the case of as a monolithic entity, by referring to the ethnic Chinese, it refers to a group all of them as "Chinese" or "Overseas with cultural elements recognizable as Chinese." Within the countries them­ or attributable to Chinese, while socially, selves, as In , for instance, members of this group identify and are this tendency is apparent among the identified by others as constituting a majority population in the use of the distinct group. terms "orang Cina," "orang Tionghoa" The above definition IS III line with or even "hoakiau."D It is our conten­ the use in recent writings on this topic. tion that these terms should only be In the last ten years or so, we note a applied to those who are alien, not of revival of interest In ethnicity and mixed ancestry, and who initially do ethnic groups, due to the realization not plan to stay permanently. We also that the newly-developed as well as the submit that, what terminology and what established countries In Europe and definition is used for this group, has North America are heterogeneous socie­ important implications culturally, so­ ties with problems In the relations cially, psychologically and especially for policy considerations. 2) At the Symposium "Changing Identities of the Southeast Asian Chinese since World War II," organized by the Australian Na­ * Indonesian Institute of Sciences (LIPI), Ja­ tional University in Canberra in June 1985 karta, Indonesia (the present author was a participant at this I) The terms "orang Cina" or "orang Tion­ symposium), the use of the term "ethnic Chi­ ghoa" are Indonesian for "Chinese." The nese" as against "" was dis­ term "Cina" is considered by ethnic Chinese, cussed and it appeared that the participants especially in Java, to have a derogatory were more in favor of using the first term. meaning. For an explanation of the use of One of the more recent publications that these two terms, see Coppel and Suryadinata uses the term "ethnic Chinese" consistently [1970]. is Suryadinata [1985].

- 63- 363 between the variOUS ethnic groups.3) who are usually referred to as "totok," Ireland, of course, is a case in point, who are culturally Chinese-oriented by as IS , Canada.

In the case of Indonesia, to deter­ 4) (born in , mine who the ethnic Chinese are, is 1937) has a law degree from the University a rather complicated matter. First, of Indonesia. He was a student activist during the 1965-1966 upheaval, a promi­ there is the distinction by citizenship nent leader of the KAMI (Kesatuan Aksi into aliens and citizens. This is not Mahasiswa Indonesia or Action Unit of too much of a problem, as aliens form Indonesian Students). He is an active member of the executive board of a separate category and are registered (Golongan Karya, the government-backed with the appropriate section In the political party). He has been a member immigration office. Then there is the of the Majelis Permusyawaratan Rakyat (MPR) (People's Consultative Assembly) distinction by cultural orientation and since 1972. He is affiliated with the well­ social identification. Here, we suggest, known Center for Strategic and International Studies (CSIS), serving as a member of we have to think in terms of a con- the Council of Directors and Chairman of tinuum. Foreign Relations. He has written among At one end, there are those, mostly others for Newsweek magazine, the Far East­ ern Economic Review and the Asian Survey. of the younger generation, who identify Sofjan Wanandi is a younger brother of completely and solely as Indonesian, Jusuf (born in West Sumatra, 1941). He and whose cultural orientation is also did not finish his study in economics at the . Like his brother he Indonesian. Examples of individuals in was a student activist during the 1965-1966 this category are the late Soe Hok upheaval. He became a member of Parlia­ Gie, a student activist during the 1965­ ment from 1967-1971 and then member of the MPR from 1971-1983. According to 1966 upheaval, his social scientist Apa dan Siapa (Who's Who) of Tempo maga­ brother AriefBudiman, who is married to zine, in 1983, he was President Director of PT Garuda Mataram Motors Company a Minangkabau woman, the brothers and Director of PT Pakarti Yoga. Source: Jusuf and Sofjan Wanandi, Christianto Apa dan Siapa sejumlah orang Indonesia 1983­ Wibisono, all of the "1966-generation" 1984 [Who's Who of a number of Indo­ nesians, 1983-1984] [1984: 1115-1117]. fame.4> Also, artists like the nationally Christianto Wibisono (born in , renowned playwright and film director 1945) has a degree from the Faculty of Social , and one of the most Sciences of the University of Indonesia. He was also an activist in 1965-1966. He was popular actresses up to the time of one ofthe founders of Tempo weekly magazine her death in the mid-70's, the late in 1970 and in 1980 moved on to set up Fifi Young. and become the director of Pusat Data Business Indonesia (Indonesian Business At the other end, there are those Data Center), which compiles data on vari­ ous aspects of the Indonesian economy. He 3) Some of the important work in this area also published two volumes of his writings that have appeared since the 1970's are: in the mass media under the title Kearah Barth [1969], Rex [1983 (first ed. 1970)], Indonesia Incorporated (Towards Indonesia, Glazer and Moynihan [1975], Banton [1983], Inc.) [1985]. Source: Apa dan Siapa ... Stone [1985], and Stavenhagen [1986]. [1984: 1126-1127].

364 - 64- M.G. TAN: The Role of Ethnic Chinese Minority in Development the fact that they usually have had have Indonesian citizenship through nat­ a Chinese-language education and speak uralization or, if born in Indonesia, Mandarin or one of the Chinese dia­ through the various laws enacted and lects with one another. Most of them implemented in the 1950's and 1960's.5) Some of the businessmen often referred to in the foreign press recently fall 5) For an analysis of the citizenship problem through 1958, the best study is still Willmott into this category. The names that [1961]. For the subsequent developments, could be mentioned are Liem Sioe regarding the dual nationality treaty be­ Liong or Sedono Salim, Mochtar Riady, tween Indonesia and the PRC, its implemen­ 6 tation and unilateral abrogation in 1969, The Ning King, Go Swie Kie. ) see Coppel [1983: 38, 39 and 155, 156]. In between these two extremes is a Still further developments occurred in 1980 whole range of people in various stages with the Presidential Instruction number 2, 1980 (Instruksi Presiden Republik Indonesia, of acculturation to and identification No.2, 1980), on Proof of Citizenship of with Indonesian society. They are com­ the Republic of Indonesia (Bukti Kewarga­ monly referred to as "peranakan," negaraan Republik Indonesia) issued on 31 January 1980 and its implementation people of mixed ancestry, whose daily to be valid until 17 August 1980. This language is Indonesian and often also measure was meant to give legal certainty (de jure) to those who are considered de facto the regional language of their area of citizens, but who do not have the docu­ birth. Many of them have become ments to prove this, by providing them Protestant or Catholic and more recently with a Certificate of Proof of Citizenship of the Republic of Indonesia (Surat Bukti there is also conversion to Islam. Kewarganegaraan Republik Indonesia or Another characteristic of the ethnic SBKRI). Another measure is the Presi­ dential Decision No. 13, 1980 (Keputusan Chinese in Indonesia is their status as Presiden No. 13, 1980), on the procedure a minority group. This is because of for the application of citizenship issued on their size, which, based on various cal- 11 February 1980. This measure was meant to make the procedure for naturalization culations, is estimated at no more than for aliens· faster, easier and cheaper. No 3% of the total population,?) but even time limit was given for the implementation of this measure. These two measures on more because of the economiC role citizenship, especially the first one, have they have played Since the Dutch probably influenced the outcome of the 1980 Census (taken in October, about 2 colonial period. As such they are con­ months after the deadline of the first mea­ sidered similar to the Jews in Europe, sure), when the number of alien Chinese is stated as 462,314, a drastic drop from the 1,028,935 in the 1971 Census [Indonesia, 6) These are names that also appear in Apa Biro Pusat Statistik 1982: 82]. For an dan Siapa ... [1984: 427-430, 684--686, 1072­ English translation of the text on the Sino­ 1073]. For detailed information on these Indonesian Treaty on Dual Nationality of people, including Go Swie Kie, see Robison 22 April 1955 and the text of the Presiden­ [1986: Chapter 9]. tial Decision No. 13, 1980 on the procedure 7) Suryadinata [1985: 5, 6] estimates the num­ for naturalization, see Suryadinata [1985: ber of ethnic Chinese in Indonesia at 4.1 Appendix 5 (166-172) and Appendix 7 million or 2.8% of the total population of (178-182)]. 147 million in the 1980 Census.

- 65- 365 the Indians in East Africa, the Arabs national boundaries, often on a mas­ in West Africa, the Vietnamese in the sive scale, has occurred shortly before former Indo-China. It has been sug­ and after World War II and the van­ gested by various writers to refer to ous regional wars and upheavals SInce these people as "middleman minorities."8) then. For instance, in Britain, the en­ We have to make a clear distinction, trance ofpeople from the Commonwealth however, between these minorities, who countries; in Western Europe, the in­ are originally migrants or non-indigenous flux of "gastarbeiters," and the dispersal and those who are indigenous. In this and subsequent settlement of Vietnamese paper we are concerned with the non­ in various parts of the world.9) indigenous only. These migrants ini­ Having made clear that we view tially carne with the idea of returning the ethnic Chinese in Indonesia as an to their land of origin, making them ethnic minority group, our approach what is referred to as "sojourners." is social-structural, in the sense that However, many of them eventually set­ we look at the situation of the ethnic tled in the new country, established Chinese in terms of minority-majority families with local women and gradually group relations. Therefore, our em­ formed distinct communities. A new phasis is on social-structural rather than wave of movement of peoples across on social-psychological variables. This paper is concerned with the

8) The concept of "middleman minority" has whole group of ethnic Chinese as part been developed by Blalock, Jr. [1967: 79­ of the Indonesian population, and their 84]. These are minorities who "occupy intermediate positions owing to a competi­ role in the ongoing process of national tive advantage or a high adaptive capacity. development. We will therefore start Such minorities are often associated with with the government, when special occupational niches by virtue of a combination ofcircumstances, plus a cultural Indonesia initiated its systematic de­ heritage that has been used as an adaptive velopment with the first 5 Year De­ mechanism over a prolonged period." As examples of this group he mentions the velopment Plan in 1969. history of the Jews in Europe, the Chinese One of the striking elements of this in Southeast Asia, East Indians in Burma and South Africa. Blalock's ideas have Plan is the pragmatic approach in its been further developed in Turner and formulation and implementation. This Bonacich [1980: 144-158], in which they is indicated by the fact that in the propose a composite theory developing 9 propositions to account for the conditions rehabilitation of the economy starting promoting the (1) concentration of ethnic In 1967, resources In the hands of populations in middle-rank economic roles, (2) development of patterns of intragroup ethnic Chinese, be they citizens or solidarity, (3) hostility from the nonethnic aliens, were included in the develop- population. These propositions can be applied to the ethnic Chinese in Indo­ nesia, at least for the beginning of the for­ 9) See Rex [1983: especially Chapters 4 and mation of the community. 7]. Also Vermeulen [1984].

-66- M.G. TAN: The Role of Ethnic Chinese Minority in Development ment endeavors.10) This opportunity to out of the total of 147 million In the participate more fully in the economy 1980 Census), has the second lowest was well received by the ethnic Chinese proportion of ethnic Chinese after the business community, and as we see Phillippines with 1.5%, Thailand with today, some of them have succeeded in 13.00/0' Brunei-Darussalam with 25.4%, developing major companies of interna­ with 33.1 % and 1 tional proportions. with 76.90/0. 1) The figure of 4.1 mil­ In this paper we will discuss the lion includes both the citizens and the role of the ethnic Chinese in the de­ aliens. As according to the 1980 Census velopment process, by focusing not only there are 462,314 alien Chinese (a on their role in the economy, but also drastic drop from the 1,028,935 in the on other aspects in the efforts towards 1971 Census), those who are citizens development of the society. To this should be about 3.6 million. 12) end, we will start with some demo­ Nonetheless, despite this small pro­ graphic aspects, i.e. their role in the portion, Indonesia has what is usually efforts of the government to control referred to as "masalah Cina" or the population growth, their economic role, Chinese problem. In terms of size, and finally we will discuss the social the majority indigenous population per­ and cultural aspects of the ethnic ceives this group to be too large in Chinese problem. number and growing too fast. Conse­ quently, there have been accusations Som.e Dem.ographic Aspects of the that the ethnic Chinese are not par­ Ethnic Chinese Population ticipating in the national efforts to­ wards fertility reduction, I.e. in the Compared with the other ASEAN family planning program. countries, Indonesia with 2.8% (in Interestingly, the National Family 1981, using an estimation of 4.1 million Planning Coordinating Board (NFPCB), considered these accusations senous 10) This is stated in the Instruction of the Pre­ enough to initiate KAP (knowledge, sidium of the Cabinet, 7 June 1967: "Dif­ ferent from foreign capital as defined in Law attitude and practice) studies on the No.1, 1967, capital that is acquired and ethnic Chinese in vanous cities with accumulated within the territory of Indonesia, high concentration of this group, in­ i.e. domestic foreign capital, is basically national wealth that is in the hands of aliens cluding , Surabaya, Bandung, and should therefore be mobilized, developed Semarang, , Ujung Pandang. and utilized for the benefit of rehabilitation and development." (translation by the pres­ There are two other studies that are ent author). It was further stipulated that relevant in this context. One is an this domestic foreign capital is not allowed in-depth study of women in Jakarta, to be transferred abroad. For an English translation of the full text of this document see Suryadinata [1985: Appendix 6 (173­ 11) See Suryadinata [1985: 5-7]. 177)]. 12) See Note 5 above.

- 67- 367 which includes a sample on ethnic changing, however, probably as a re­ Chinese and the other is a study on sult of special efforts on the part of the relationship between ethnicity and the NFPCB to reach this group. In fertility, comprising 5 ethnic groups 1984, for instance, the present author (Javanese, Sundanese, Minangkabau, was invited at the main office of the and ethnic Chinese), in 4 cities NFPCB in Jakarta, to meet with a (Jakarta, Bandung, Surabaya, Medan).13) group of ethnic Chinese women from Some of the findings of these studies Banyuwangi (East Java), who were that are pertinent to this paper are as awarded a certificate for having suc­ follows: cessfully practiced family planning. 1. The ethnic Chinese practice family What is most interesting of the re­ planning by consulting private I sults of these studies on the ethnic personal physicians and not under Chinese is that, contrary to the per­ the national family planning program; ception of the majority population, the 2. Their age at first marriage is higher performance In family planning IS than that of the other ethnic groups; generally better than that of the other 3. Their average number of living indigenous ethnic groups. This can be children is lower than that of the explained as the advantage of being other ethnic groups; an urban population. They have some 4. The ideal number of children IS distinct urban characteristics, such as lower than that of the other ethnic more receptive to new ideas and ap­ groups; proaches, better education and better 5. Similar to the other groups, there health condition. Most of them are is variation by age and education in urban occupations that are better of the wife. Among the ethnic remunerated, such as business, trade, Chinese there is also variation by services, the professions. The wives are religion, i.e. Protestant / Catholic or also better-educated, are often a part­ Buddhist / Confucianist. ner in the business or are themselves The attitude towards not using the in some profession. These characteristics government program appears to be are conductive to the development of a more pragmatic attitude, facilitating 13) The KAP studies consulted are those on East the ability to live in a more rational Java and South Sulawesi [Pardoko and Indroes 1981]. The one on South Sulawesi way, as in planning the number of was done by a team ofHasanudin University: children to have and the future educa­ Laporan HasH Penelitian PSP-KB WNI Keturunan Cina di Sulawesi Se1atan (Report tion of these children. The finding on the KAP study on citizens of Chinese that ethnic Chinese families tend to descent in South Sulawesi), Hasanudin consult with personal/private physicians University, Ujung Pandang, 1980. The other two studies consulted are: Rahardjo concerning family planning matters is et at. [1980] and Tan and Soeradji [1986]. a clear indication that they themselves

368 - 68- M.G. TAN: The Role of Ethnic Chinese Minority in Development are motivated to adhere to the small existing network of Overseas Chinese family norm exhorted by the national capital and business in other Southeast family planning program. and East Asian countries. This development was facilitated by The Role in the Econorny the emergence of a phenomenon com­ monly referred to as "cukongisme," Studies on the economy of Indonesia the mutually beneficial alliance in eco­ invariably point to the importance of nomIC ventures with civilian and/or the economic role of the ethnic Chinese. military high officials. 15) As Robison

I t IS also generally recognized that observes: "Both generals and interna­ this role is the major source of conflict tional investors were attracted to Chinese situations between this group and the capitalists because they had the necessary majority ethnic Indonesians. Due to corporate, capital and distributive appa­ this role in the economy, this group IS ratus in place, and the business 'culture' referred to as "middleman minority." essential to the making of profits."16) Today, however, it is not only as "mid­ To date the book by Robison IS dleman"; their role has expanded into perhaps the most comprehensive expose all areas of the economy, including of the development of ethnic Chinese manufacturing, shipping, construction, big entrepreneurs In the Indonesian banking. As such, they are now part economy. Interestingly enough, of the of the most important capitalists in the 41 groups of companies listed in this country.14) book, involving 46 names of the owners, There is no doubt that the attitude only 12 have no Indonesian name be­ of the government and its policies, sides their Chinese name. I7) This could are a major factor in this development. mean that these people are aliens, or, In the rehabilitation of the economy, it may indicate that at a certain scale the government took the ap­ of company it is no longer necessary proach of utilizing the capital and to change one's name. At any rate, entrepreneurial skills of the ethnic Liem Sioe Liong, the best-known ethnic Chinese. Not surprisingly, this policy Chinese businessman, is usually referred received a positive response from this to in the press by his Chinese name, group. The subsequent re-entry of for­ rather than by his Indonesian name eign investment was advantageous for Sudono Salim. William Soerjadjaja, on them as they were in the best position the other hand, is not known by his to enter joint venture arrangements.

This gave them access to international 15) On "cukong," "cukong system" and criti­ capital in addition to the access to the cism of it, see Suryadinata [1978: 141, 142]. Also Tan [1976: 25], Robison [1986: 14) See Robison [1986: especially Chapter 9]. 272-275]. Also, Thee and Yoshihara [1987: especially 16) See Robison [1986: 273]. 346-349]. 17) See Robison [1986: 278-288].

- 69- 369 Chinese name Tjia Kian Liong. The to curtail the perceived dominance of same goes for (The Kian the ethnic Chinese and achieve a more Siang), Ciputra (Tjie Siem Hoan), proportionate participation of ethnic Masagung (Tjio Wie Tay), Mochtar Indonesians in the economy. As for Riady. Nevertheless, whatever name instance, the regulations of 1979 and they themselves use, the Indonesian 1980, known as Keppres 14 and 14(a), business community and the society at which were intended to give more op­ large, identify them as ethnic Chinese portunity to indigenous contractors and and their companies as ethnic Chinese suppliers to benefit from government companies. contracts.19) This is evident in times of social Despite these policies, however, ethnic unrest and outbreaks of riots, whatever Chinese companies have continued to the cause, when ethnic Chinese com­ grow and expand into international panies have been sought out and be­ concerns. It is also obvious that their come targets of violence. In this sense ethnic Indonesian counterparts have ben­ the ethnic Chinese businessmen are efited from these developments. To quote Robison again: "For the gen­ basically in a tenuous position. Their existence in Indonesia is dependent on erals and the larger indigenous capital­ ists, the Chinese have become a vital the position of their ethnic Indonesian element in their social and economic associates who in turn are vulnerable dominance, by providing both revenue to the vagaries of the political and and corporate and commercial infra­ economic situation in general. structure. The economic fortunes of the Here again, the role of the govern­ emerging indigenous Indonesian ruling ment is crucial. On the one hand, class are firmly intertwined with those the government seems unable to bring of the Chinese."20) about a change in the situation where Still, the situation of the ethnic the dominant element in the private Chinese businessmen can best be char­ sector is the ethnic Chinese businessman; acterized as fraught with uncertainty. on the other hand, it faces strong criti­ cism from indigenous entrepreneurs and 18) On "Malari" (an acronym referring to the the majority society at large, who per­ date of the incident, 15 January 1974), and ceive favoritism to ethnic Chinese and its aftermath especially in terms of economic policies, see Robison [1986: 164-168]. Also the so-called "cukong issue." This crit­ Mackie [1976: 137]. He observes that this ICIsm was more vocal in the early event was not primarily an anti-Chinese seventies and was translated into overt outbreak, but directed towards"... the most conspicuous symbols of wealth and high actions of violence during the so-called living among the Indonesian elite, the "malari riots" of 1974. 18) Chinese and foreigners." 19) See Robison [1986: 185, 316-317]. Also As a result, the government was Cappel [1983: 154]. constrained to introduce major policies 20) See Robison [1986: 317].

370 -70 - M.G. TAN: The Role of Ethnic Chinese Minority in Development

Although the last major outbreak of attitude, he observes that Indonesia violence occurred in 1974 (the "malari probably needs people like him, as incident"), an undercurrent of resent­ they make large investments in Indo­ ment continues. This has come to the nesia, thereby contributing to the de­ surface, for example, in an incident in velopment of the economy.2D Solo and Semarang towards the end of Again, commenting on reports in the 1980, the bombing incident of Chinese­ press that Liem Sioe Liong is one of owned banks in Jakarta in 1984 and the richest men in the world, he said the "Tanjong Priok incident" in Jakarta that it made him feel proud. But, in the same year. Under these cir­ " in all honesty, I have to admit cumstances it is not surprising to hear that I would feel even more pleased comments that some of these big and proud, if the richest man from businessmen have expanded overseas to Indonesia is not Gom Liem, whom secure their position. It is even said I highly respect, but for instance, Pro­ that some have settled their families bosutedjo, or Sukamdani, Aburizal abroad, so as to make it easy to re­ Bakrie, Pardede, Arifin Panigoro, Haji move themselves should this become Kala, Poncho Sutowo or Abdul Latif or necessary. some other indigenous entrepreneur."22) How do the ethnic Indonesian business­ So far, we have focused on the big men perceive this situation? In this entrepreneurs, the so-called capitalists in the Indonesian economy. Actually, by context a book written by one of the far the majority of the ethnic Chinese young ethnic Indonesian businessmen businesses are of the small and medium considered successful In real estate, type, especially in retail trade, but Siswono Yudo Husodo, is quite reveal­ also in manufacturing. ing. This book, which was published For an illustration of the role in this in 1985, can be considered an auto­ type of business, we will look at a study biography focusing on his relations with done in 1979 in Banda , the capi­ ethnic Chinese. The views expressed tal of the province of the Special Area towards this group can be characterized of Aceh.23 ) Acehnese are known to be minimally as ambiguous. For instance, strict adherents of Islam and the pro­ he mentions about an ethnic Chinese vince is often referred to as "serambi business colleague of his, who has his Mekah" or "the gate of Mecca." wife and children live in Singapore, However, as in most other cities In while he himself goes there twice a Indonesia, Banda Aceh also has a week. In the author's view, this person measures the values of country and 21) See Siswono [1985: 20]. nation solely in terms of the opportu­ 22) See Siswano [1985: 24]. According to the author people usually call Liem Sioe Liong nity for business and profit making. "Oom" (Dutch for "uncle") Liem. Although he obviously condemns this 23) See Ahok [1976].

- 71 371 business area, where many of the shops inconsistent In the execution of the are owned and operated by ethnic policies concerning the return of Chinese Chinese. In the aftermath of the abor­ business. Acehnese respondents are tive coup of 1965, anti-Chinese feelings quoted as saying that Acehnese lack in this area ran very high, and most leadership in business, so there are no of the ethnic Chinese either removed concerted efforts to compete with the themselves on their own or were re­ Chinese. They also say, that there are moved by the authorities and set up in among them, as among the govern­ camps in Medan.24J ment officials, those who only want to Nevertheless, beginning in 1970 they get quick and easy benefit from some started returning, first for short visits type of cooperation with an ethnic for which a permit was needed, but Chinese businessman. In addition, the eventually, as these restrictions were public in general seems to prefer buy­ relaxed, they stayed permanently. By ing in Chinese stores and dealing with 1975, according to the registration at Chinese business, as they have better

the regional office of the Department of quality goods and give better service.26) Trade, the number of ethnic Chinese The results of this study indicate in medium and small enterprises and that, if in an area that has shown clear as owners of stores, exceeded that of hostility, it is still possible for ethnic ethnic Indonesians. In medium enter­ Chinese to operate profitably, even more prises 79 were owned by ethnic so in less hostile areas. Thus, in small Chinese (all citizens) and 52 by ethnic and medium industry and in retail Indonesians; in small enterprises, 197 trade, ethnic Chinese will probably con­ were ethnic Chinese (1 alien), and 190 tinue to play a significant role. ethnic Indonesian; of the store owners, We may conclude, therefore, that 135 were ethnic Chinese (2 aliens) the economic role of the ethnic Chinese and 84 ethnic Indonesian. It is in will not decrease. The crux of the the category of big industry that there matter is, how is this role perceived were 105 ethnic Indonesian and only by the majority indigenous population. 27 ethnic Chinese.25) Is this role considered an asset or a Considering that, as indicated in the liability? Indications are that it is still study, the ethnic Indonesians are clearly viewed as an asset. However, undoubt­ hostile to the Chinese, how was this edly, it is imperative for the indigenous return possible? Indonesians to increase their role In The study concludes that much of the economy substantially, in order to the blame must be put on the authori­ reduce tensions in this area. Conversely, ties, who are viewed to have been it is imperative for the ethnic Chinese to diversify into other occupations away 24) See Ahok [1976: 5-7]. 25) See Ahok [1976: 7 ff. and Appendix III]. 26) See Ahok [1976: 40, 41].

372 -72- M.G. TAN: The Role of Ethnic Chinese Minority in Development

from the high concentration in economic situations between the two groups. This activities. in turn will result in a high probability In this context, the second generation of the continuation of periodic, though economic elite that is now emerging, localized, outbreaks of social unrest. bears watching. Many are the sons and daughters of the new capitalists of The Social and Cultural Aspects Indonesia, some of whom have studied of the Ethnic Chinese Problem. abroad and acquired foreign MBA's. There are Anthony Salim, son of Liem The multi-ethnicity of Indonesian so­ Sioe Liong; Edward Soeryadjaja, son of ciety is recognized in the motto of the William Soeryadjaja; Aburizal Bakrie Republic: Bhineka Tunggal Ika or Unity (who was proclaimed one of the Out­ in Diversity. In reality, however, the standing Young Persons of the World emphasis has been more on the unity 1986 by the Junior Chambers Interna­ than on the diversity aspect. Hence, tional)27> and his two brothers, sons of the continuing debate on what consti­ Achmad Bakrie of Bakrie and Brothers; tutes national culture, the emphasis on Pontjo N ugro Susilo, son of the former nation building and the exhortations "oil king" of Indonesia Ibnu Sutowo; towards unity. Shanti Soedarpo, daughter of Soedarpo One of the manifestations of this Sastrosatomo; and the sons and daugh­ emphasis IS the policy towards the ters of President Suharto, whose busi­ ethnic Chinese minority, especially re­ ness relations have been widely reported garding their education and overt ex­ in the foreign press recently.28) In ad­ pressions ofelements of Chinese culture.30) dition, there are those who are re­ The thrust of this policy is clearly cognized as having come up on their assimilationist, in the sense of the even­ own. Some of the names that have tual disappearance of the ethnic Chinese come to the fore are Abdul Latief, as a social-cultural entity. Over the owner of the Sarinah J aya Department years, however, its implementation has Stores, Kamaluddin Bachir, who ope­ varied in consistency and strength. rates from Pekalongan in Central Java.29) A key policy towards this end, was Nonetheless, if the structure of the the closing down of all Chinese lan­ economy and business practices con­ guage schools in 1966. This was relaxed tinue as they are today, the economic in 1969, when the government allowed role of the ethnic Chinese will continue the operation of so-called "special project to be viewed as the source of conflict national schools." These schools were set up by prominent ethnic Chinese 27) Tempo November 22, 1986: 74-78. 28) See Asian Wall Street Journal November 24-, 30) This policy was spelled out in the Presiden­ 25, 26, 1986. These 3 issues of the Journal tial Instruction No. 14, 1967, on Chinese were banned in Indonesia. religion, beliefs and customs. See Coppel 29) Tempo November 22, 1986: 74-78. [1983: 163-165].

- 73..- 373 businessmen, with medium of instruction bration at the well-known Sam Po In Indonesian, using the national Kong temple In Semarang in August curriculum, but allowing for the teaching 1977, which attracted thousands of

of the Chinese language as an extra­ people.32) curricular activity. In 1975 they were Still another measure is the encourage­ closed down however, after being ment to change the Chinese name to charged with violating some of the rules an Indonesian-sounding name. In 1966, for operation. The official reason given ir.. the town of Sukabumi in West Java, was that as a transitional device to the ethnic Chinese population responded accomodate the students of the closed with an organized effort to have all of

Chinese-language schools, they have them change their name.33) But, as we served their purpose.3D note today, name changing seems no Since then, all ethnic Chinese chil­ longer an issue, as the majority has dren have to go to the regular state changed their name and most of the or private schools. This effectively cut younger generation have only Indonesian­ off the possibility for the enculturation sounding or Christian or Western names. of the younger generation through one There are exceptions; whereas Rudy of the key aspects of their culture, i.e. Hartono, the internationally-known bad­ the language. A related measure was minton player of Indonesia, changed the prohibition to sell Chinese-language his name, the player expected to re­ materials and to use Chinese characters place him, Liem Swie King, did not. for public purposes, such as the shop Neither did another well-known player, name. An exception is the government­ Ivanna Lie. Some other names that sponsored Chinese-language daily, Harian could be mentioned are that of the Indonesia, published in Jakarta. Inter­ historians Lie Tek Tjeng and Onghokham estingly enough, Chinese movies, usually and the economists Thee Kian Wie called Mandarin films, especially of the and Kwik Kian Gie. kung-fu variety are allowed to be shown, The Chinese lunar new year used and enjoy an immense popularity also to be the occasion for the most overt among the indigenous Indonesians. display of "Chineseness," with fireworks, Another regulation is the prohibition and the Chinatown area and Chinese to celebrate Chinese temple festivals, temples full of celebrants. Today, Chi­ especially outside the premises. This nese new year is a family affair, cele­ regulation has been relaxed in certain brated especially when the grandparents areas and for certain occasions, depend­ are still around. With the demise of ing on the evaluation of the permit­ this older generation, this festivity will giving authorities involved. For example, probably also be a thing of the past. Coppel reported witnessing a big cele- 32) See Coppel [1983: 164]. '31) See Coppel [1983: 160-162]. 33) See Coppel [1983: 82-85].

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In the light of these developments and cars with ethnic Chinese In it we can conclude that the recognition were stoned. Every time they threw ofand the adherence to Chinese cultural a stone, the shout "cino" (Javanese elements are disappearing. Especially pronunciation of "cina") was heard. among the younger generation, many The situation became grim when a of whom have attended or are young ethnic Chinese businessman was attending the Christian-or Catholic-run shot and killed in his car. According private schools, knowledge of traditional to the authorities this was a criminal Chinese culture and customs is pratically act that has nothing to do with the non-existent. rioting. Still, conditions were explosive Despite these changes within the eth­ and the authorities decided to come nic Chinese community, moving away out in force, succeeding in deterring from their "Chineseness," indications are the masses from breaking out into seri­ that the relations between the minority ous rioting. ethnic Chinese and the majority indige­ The ease with which anti-Chinese nous Indonesians, are still characterized behavior can be generated, points to by one of uneasiness, or even latent the continuing feelings of resentment, hostility. based on a mixture of prejudice, envy The most recent illustration of this, and a feeling of injustice. This resent­ is the incident in Surabaya in September ment is not only due to the perceived 1986, which was prevented from erupt­ dominance in the economy, but also to ing into a full-scale riot by the actions the attitude and behavior, which is of the military authorities. The inci­ usually expressed in the single term dent was triggered off by the disclosure "exclusiveness." In the view of the that a young Javanese maid was se­ majority ethnic Indonesians, the ethnic verely maltreated by the peranakan Chinese feel superior to them and ex­ Chinese family she worked for. As press this in their behavior by keeping reported in Tempo weekly magazine,34) socially aloof, especially refusing to par­ masses of people converged in front ticipate in neighborhood activities, and of the house of the accused family, segregating residentially in the newly­ shouting that they will run amok to developed plush real estate areas. those "Cina," if the maid happens to To the majority ethnic Indonesians, die from her wounds. About a week this attitude and behavior are an in­ later a similar case of maltreatment tolerable affront to their sensibilities. was reported in another part ofSurabaya. These feelings are clearly expressed by The situation became tense, as becak Siswono in the book mentioned above.35) (trishaw) drivers and students started He adheres to the concept of assimilation massing around in the business area applied to this group and suggests that

34) Tempo October 4, 1986: 21, 22. 35) See Siswono [1985: 142, 143].

- 75- 375 " the social and cultural values of the indigenous majority puts the onus the ethnic Chinese should disappear into on the ethnic Chinese to instigate the values that exist in Indonesia in changes in their way of thinking, their a consistent manner and should be ex­ attitude and behavior, such that they pressed in attitude and way of thinking." can be acceptable to the majority He proposed some definite suggestions population. as to what this group should do in this How do the ethnic Chinese react to respect and they all point to renounc­ this challenge? A brief review of the ing this "exclusivism." thinking and actions of the ethnic For example, he exhorts them to live Chinese shows that they have been by among the ethnic Indonesians and not no means united in their ideas towards form their own residential enclaves; to the solution of the "Chinese minority problem." We can discern four lines get rid of their arrogant attitude to­ wards ethnic Indonesians; to encourage of thought that have come to the fore 36 the younger generation to go to govern­ since Independence. ) The most prominent was the one ment schools; to refrain from sending their children abroad for study, be­ propounded by the Baperki (Badan Permusyawaratan Kewarganegaraan cause "... how can they develop feelings Indonesia) or Consultative Body for of nationalism towards Indonesia, if they Indonesian Citizenship, formed In spend the best part of their life abroad, March 1954. From the beginning this marry a foreign woman and then are organization received wide support from reluctant to return?"; if in business, not the ethnic Chinese, but when it be­ to " ... misuse their large capital to bribe came closely associated with the Indo­ officials and other important people in nesian Communist Party under the certain positions"; not to avoid paying leadership of the late Siauw Giok tax that is due and acquire monopoly Tjhan, many of the prominent figures rights in some business; to share ex­ disassociated themselves. The line of perience and give guidance to indige­ thought proposed by this organization nous businessmen, "not because forced by was "integration," to which they gave a government regulation, but because of the realization that these are fellow 36) This brief review of the thinking and actions citizens." of the ethnic Chinese on the solution to the "Chinese problem," for the ideas propounded Considering that this book was pub­ by the Baperki, Yap Thiam Hien and the lished only two years ago, and that "assimilationists" is based on the various writings in Suryadinata [1979]. For the the author professes to have close rela­ ideas of the "assimilationists" we also used tions with ethnic Chinese, the senti­ Coppel [1983: 46 ff. and 142-145]. The ment projected is revealing as to the ideas of Junus J ahja and his Ukhuwah Islamiyah are taken from the book which depth of resentment that still prevails is a compilation of clippings from the mass among ethnic Indonesians. Basically, media: Jahja [1984].

376 - 76- M.G. TAN: The Role of Ethnic Chinese Minority in Development the meaning of the acceptance of the Appreciation of National Unity). It ethnic Chinese as one of the suku came under the aegis of the Ministry or ethnic groups, similar to the of Home Affairs. indigenous ethnic groups. Thus, the Yet another view was proposed by group will be an inherent part of the Yap Thiam Hien, a prominent lawyer Indonesian society, without being dis­ and Christian church leader. His ideas solved as a social-cultural entity. In have been called by Suryadinata "plu­ Siauw's view, this situation will be ralist." Basically, however, they are achieved only, when Indonesia has be­ based on his deep sense of religion come a socialist state. In the aftermath and his total commitment to human of the 1965 coup, this organization rights. Thus, the "therapy" he pro­ was banned and the leaders detained. posed is "heart-cleansing," a change in The opposite view is expounded by human attitudes to being "Christian­ a group of mostly intellectuals, who, centered" and "the rebirth of man in In March 1960 put out a "statement Jesus Christ." We would therefore refer of assimilation" in the magazine Star to his ideas as "religionist." His was Week(y. This was the start of a move­ a rather lone voice, most probably as ment, espousing the idea of complete the ethnic Chinese consider it improb­ dissolution of the group as a social­ able for a Christian approach to find cultural entity and its absorption into a favorable response in a predominantly the various indigenous ethnic groups. Moslem society. Members of this group became part Most recently another "religionist" of the LPKB (Lembaga Pembinaan approach emerged with the ideas put Kesatuan Bangsa or Institute for the forward by Junus Jahja, a Dutch­ Promotion of National Unity). This educated economist, and former activist group was not a mass organization, of the LPKB and later of the Bakom­ but consisted of a full board of officers PKB. He became a Moslem in June with specified tasks. They received the 1979, married a Moslem woman a support of the government and especially few years later, and served as a mem­ the military. They became known ber of the prestigious Majelis Ulama as the "assimilationists." From its in­ Indonesia Pusat (Central Council of ception the leading figure is K. Sind­ Indonesian Ulamas) for the period hunata, a lawyer, Catholic and navy 1980-1985 (another ethnic Chinese officer (since retired). After 1965, the Moslem served in the Council, Abdul group continued to receive support from Karim Oey, a Moslem of long stand­ the government and in 1977, the name ing). Junus espouses the idea that the was changed to Bakom-PKB (Badan solution of the "ethnic Chinese prob­ Komunikasi Penghayatan Kesatuan Ban­ lem" lies in the massive conversion of gsa or Communication Body for the the group to Islam. In his opinion,

-77- 377 by sharing the same religion, all the certainly cannot vouch to represent the barriers between the majority and entire community. Among the ethnic minority groups will be removed. To Chinese there seems to be a reluctance this end he set up a foundation called to associate with a group or move­ Yayasan Ukhuwah Islamiah or Islamic ment that, though basically assimila­ Brotherhood as the vehicle to spread tionist, as both groups are, still, in their Islam among the ethnic Chinese. He activities focus on the ethnic Chinese IS quite realistic about its success, as a group to which certain actions however, acknowledging that despite need to be done. good press coverage, he estimates that Recently an alternative line of action SInce 1979 there have been about 20,000 has emerged. This is by joining existing converts. groups within the majority society. Of these four lines of thought, only This is by no means a new phenomenon, the Bakom-PKB and Junus Jahja's as since the formation of the Republic, Moslem group are still active and vocal individual ethnic Chinese have been today. The Bakom-PKB has an execu­ active members of the then existing tive board in most cities with a size­ national political parties.37 ) It is true, able ethnic Chinese community, where though, that after the 1965 abortive the members are prominent citizens of coup, ethnic Chinese as a group have this group. Their. appointment is with refrained from participating actively in the blessing of the local office of the politics, though individuals have con­ Bureau for social and political affairs tinued to do so, but in a rather muted of the Ministry of Home Affairs. In way. many ways this Board functions as a Interestingly enough, this low pro­ liaison between the government and file attitude seems to have given way the ethnic Chinese community. Junus to a more visible stance in the par­ liamentary election of April 1987. J ahja with his Ukhuwah Islamiyah During the campaign period, an ethnic Foundation seeks to recruit new con­ Chinese Dutch-trained economist and verts and deepen the knowledge of businessman, K wik Kian Gie, has Islam of those already converted through come to the fore in the camp of the encouraging the latter to open their smallest of the three contestants in the homes for prayer meetings and the Election, the Partai Demokrasi Indo­ study of Islam. J unus' efforts has the nesia or Indonesian Democratic Party full support of the Moslem leadership (PDI). His activities were such that and prominent people in the govern­ he rated mention in the Far Eastern ment. Economic Review: "The diverse nature To what extent these two lines of thought have the support of the ethnic 37) See Somers [1965]. Also Coppe1 [1983] and Chinese community is not clear. They Suryadinata [1979].

378 - 78- M.G. TAN: The Role of Ethnic Chinese Minority in Development of the party's appeal has been sym­ groups only those of Chinese descent bolized by the appearance of Chinese­ have been and are still viewed as con­ Indonesian PDI leader Kwik Kian Gie stituting a problem. This is not only at major rallies." The article also noted because they are the largest In size, that "Kwik, a leading businessman, has compared to the other two groups, even highlighted his Chinese origin in but especially because of the role in at least one PDI rally...."38) the economy they have played since Whether this phenomenon IS an iso­ colonial times. As a matter of fact, lated case, or the beginning of a trend there are those who perceive this role towards greater participation and fuller as even more pervasive today than at acceptance in the socio-political arena, any other time in the history of the eventually leading to a reduction of Republic. conflict situations is a moot point. The evidence so far indicates that No doubt, the government, its policies this role is not going to be reduced and the implementation of these policies in the near future, despite policies that as related to the "ethnic Chinese prob­ are intended to generate a more pro­ lem" play a key role in this respect. portionate and significant role of ethnic Of equal importance are the views and Indonesians in the economy. The emer­ behavior of the ethnic Chinese them­ gence of the "cukong" phenomenon selves, whether as a minority group has strengthened their position together they realize that accommodation to the with that of their indigenous associates. majority population is an imperative, As such, they are part of the emerging while individually, total assimilation IS capitalist class of Indonesia. The evi­ a line of action open to them. dence also suggests that in retail trade and in small and medium enterprises Concluding Remarks they will continue to playa significant role. It is generally agreed that this Indonesia is a multi-ethnic society role in the economy is one of the major consisting of a majority of indigenous sources of conflict situations between ethnic groups and a minority of non­ this group and the majority popula­ indigenous or originally immigrant tion. groups. From the beginning of the Nevertheless, we have shown that in Republic, three minorities of foreign other areas changes are occurring that origin were recognized: those of Chinese, may reduce the "visibility" of the ethnic Arab and Dutch descent.39) Of these Chinese, removing some of the sources 38) Far Eastern Economic Review April 23, 1987: of resentment, thereby leading to a 28. reduction of hostility towards this group. 39) The thinking on these minorities shortly after the formation of the Republic, is ex­ This refers to their size, where contrary pounded in Tabrani [1950]. to the perception of the majority pop-

- 79- 379 ulation, ethnic Chinese families consult who campaigned for the PDI in the with private physicians in matters of parliamentary election of April 1987, family planning, indicating that they may show a trend towards greater are themselves convinced of the ad­ participation and acceptance in the vantage of having a small family. socio-political arena. Thus, their proportion to the general Nevertheless, we suggest that it is population will probably remain no the government and its policies that more than 3%. Changes are also oc­ will play a decisive role whether the curring in the cultural area, moving relations between the majority ethnic away from cultural expressions that are Indonesians and the minority ethnic considered of Chinese origin. This is Chinese will continue to be character­ especially the case with the younger ized by periodic outburst of social generation, many of whom have be­ unrest with the ethnic Chinese becom­ come Christians and are ignorant of ing VIctIms of scape-goating and de­ Chinese culture and customs. flected agression. Or, whether a gradual These changes have come about for but continuous reduction in conflict a great part due to the assimilationist situations will occur. policy of the government, by, among In line with the pragmatic approach others, closing the Chinese-language in the implementation of development, schools and the prohibition of overt especially in the economic field, the expressions of elements of Chinese government shows determination to culture. suppress any attempt that might cause Of the four lines of thought on the a disruption. So far, indications are solution to the "Chinese problem" that that the government and the tech­ have emerged among the group itself, nocrats . in the National Development only the assimilationist view of the Planning Board (Bappenas), at least, Bakom-PKB and the "religionist" view consider the role of the ethnic Chinese of Junus Jahja are vocal and active a positive contributing factor in the today. However, the response of the development process. Hence, the quick ethnic Chinese appears to be that they measures taken by the authorities to see the Bakom-PKB as a kind of Hason squash actions that appear anti-Chinese. with the government to be used when On the other hand, on the part of needed, while in regard to conversion the ethnic Chinese, it is imperative to to Islam, Junus himself admits that diversify occupationally, away from despite wide media coverage, the pro­ overconcentration in economic activities. portion of converts is still small. They also should realize that, having The recent overt partiCIpation In elected to become Indonesian citizens, politics as shown by a well-known eth­ their status as a minority group com­ nIC Chinese businessman and academic, pels them to find ways for an acceptable

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