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Economy / Indonesia

Closer US Ties

June 2006 | Ratings Update
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Indonesia's military ties with the US are expanding, with the recent visit by US Defence Secretary Donald Rumsfeld. The US State Department waived Congressional restrictions six months ago that had prevented military aid to Indonesia on account of human rights abuses in East Timor. This latest visit continued the restoration of military ties, as the US agreed to train Indonesian soldiers and supply spare parts for transport planes and patrol ships. However, Indonesia is also wary of the dangers, posed by its home-grown Islamic militants, of closer US ties, and will be reluctant to fully commit to all US anti-terrorism