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The challenge of hidden economies and predation for profit

Judith Large

The Aceh peace process is unfolding within the context of a hidden, often predatory economy. The Indonesian military (TNI) and the Free Aceh Movement (GAM) have both been involved in corrupt practices, including illegal logging, drugs, prostitution, and protection. The legacy of security sector business and illegal operations for financial gain, institutionalized corruption and the fate of natural resources all present major challenges for the peace process. Large explains how addressing these challenges effectively is complicated by entrenched practices of implicit approval of military self-financing by Jakarta, and by complex decentralization measures regarding logging regulations.

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