Transcript

JOHN HIGHFIELD: As we've already mentioned, in Indonesia there's a growing sense of nervousness as more and more students and members of both hardline and moderate Islamic groups take to the streets denouncing the United States led attacks on Afghanistan.

The attacks are widely seen as strikes against the Islamic faith and some hardline groups are now threatening to actually declare a Jihad against the United States' assets in Indonesia and to drive Americans from their country.

As Mark Bowling tells us in today's letter from Jakarta, for all foreigners in Indonesia, including thousands of Australians, these are again the times of living dangerously.

MARK BOWLING: Violence and confusion in the middle of another Indonesian demonstration. Demonstrations have been part of the political scenery since Saharto was toppled from his authoritarian perch three-and-a-half years ago after more than three decades in power. But the target was always the Government. Now it's an outside force -- the US. The foreigner. And that includes Australian journalists and their families.

It's not the demonstrators which concern you most. Many of them are idealistic students or members of the urban poor who are paid to shout outside the American Embassy. More sinister are those hardline groups which are building bombs, threatening to destroy US assets and to drive out foreign workers and their families.

The night that the US began air strikes on Afghanistan I received a phone call from my son's school -- an international school run by Americans, saying that classes would be suspended until further notice. Classes have since resumed but many of his school friends are gone. Americans, Australians, French and Malaysians among them. Their families voluntarily evacuated.

There are lingering concerns in the minds of every parent I talked to that the schools could still be a target despite upgraded security. Most foreign embassies have told their citizens in Indonesia to consider evacuating and if they stay, to avoid crowds, to vary their travel routes and to be vigilant.

There are about 8000 Australians in Indonesia. Some of those I talked to in Jakarta are already complaining of feeling cooped up, unable to carry on normal business and thinking of putting into place their contingency plans to get away. What they're hoping is that they're not forced to leave because of some terrible act inflicted on a foreigner, perhaps someone close. [sounds of protesters]

Every day the protests grow in size and intensity. On the fringes vendors sell "I love Osama" T-shirts. Bombs are routinely found outside American fast-food outlets. Many McDonald's restaurants are now heavily guarded by police and the staff have ditched their usual uniforms and taken to wearing traditional Muslim garb.

It should be said that Bali remains free of trouble, but the tourist industry there is still on the ropes with many international holiday-makers unwilling to take a flight to get there. Tourism has also taken a knock with news that on the neighbouring island of Lombok, another holiday haven, two German travellers were kicked and punched after being mistaken for Americans.

All this could not have happened at a worse time for Indonesia. After years of turmoil and economic gloom new President Megawati Sukarnoputri at least appeared to have the army and police onside and she was on the right track to restoring a sense of stability and security.

Indonesia needs foreign investors to kick-start the economy. But instead of encouraging partnership and participation the country's hardliners have the international community once again on the run. This is Mark Bowling in Jakarta for The World Today.