Foreign Relations of the United States, 1958–1960, Indonesia, Volume XVII

215. Memorandum From the Assistant Secretary of State for Far Eastern Affairs (Parsons) to Acting Secretary of State Dillon⁰

Washington, July 16, 1959.

SUBJECT

• New Government in Indonesia

A new government took office in Indonesia on July 10 under the Premiership of President Sukarno who thus becomes head of government as well as head of state. The new Cabinet retains the principal figures from the previous government, including Djuanda, formerly Premier but now First Minister under Sukarno, and Subandrio, who stays on as Foreign Minister. Army Chief of Staff Nasution assumes a place in the Cabinet for the first time as Minister of Security and Defense. Sukarno describes the new Cabinet as a “working” Cabinet which will deal with the country’s basic problems in a non-partisan spirit. Cabinet appointees have been required to divest themselves of responsibility to political parties to which they may belong.

From the standpoint of United States interests and objectives in Indonesia, the new Cabinet represents an improvement over its predecessor, even though Sukarno and Subandrio have made it clear that Indonesia’s neutralist foreign policy will continue. No known extreme leftists occupy positions in the “nucleus”, or inner, cabinet, in which the anti-Communist leadership of the Army is strongly represented. The inner Cabinet can be characterized as technically competent, and, on the basis of its membership, more conservative in political orientation than the previous Cabinet.

Designation of the new ministers follows a revised ministerial setup. The complete Cabinet, consisting of 38 ministers occupying 43 posts (see Tab A for Cabinet list and Tab B for biographic data on inner Cabinet members)¹ is composed of (1) an inner Cabinet of nine full ministers, (2) deputy ministers who serve under the inner Cabinet ministers, and (3) a group of ex-officio ministers who are heads of certain government agencies other than ministries. This organizational structure centers control in the more conservative inner Cabinet, thus providing the means to restrain the few fellow travelers (and one possible Communist) included among the deputy ministers. At the same time, Army officers have been placed in some key deputy minister posts dealing with labor, communications and economic matters.

The new government has, in theory, a freer hand to tackle some of the country’s basic problems—such as the continuing rebellion and the spiraling inflation—than any previous government. It takes office under the 1945 Constitution, which was reinstated July 5 by Presidential decree to replace the Provisional Constitution of 1950. The 1945 Constitution provides for a Presidential Cabinet with an assured life of five years, in contrast to the previous Parliamentary Cabinets which proved weak and unstable. Only time will tell whether the new government can and will capitalize on its relative insulation from political haggling and give the country effective leadership. The outcome of the experiment will depend in large degree on the performance of Sukarno, who, as the avowed head of a “working” Cabinet, must show unaccustomed willingness to shoulder administrative responsibility if the new government is to have a good chance of success.²

0. Source: Department of State, Central Files, 756D.11/7–1659. Secret. Drafted by Moore on July 14 and cleared with Mein and Marshall Green. A copy of this memorandum was sent to Murphy.
1. See Supplement for both tabs.
2. The Embassy in Djakarta assessed the new Indonesian Cabinet in telegrams 50, July 9 (Department of State, Central Files, 756D.00/7–959); 58, July 10 (ibid., 756D.00/7–1050); and 73, July 14 (ibid., 756D.00/7–1459).