This process has been a gradual one. In February 2005, the Secretary determined that the U.S. should resume International Military Education and Training (IMET) with Indonesia, based on Indonesian cooperation with the investigation into the August 2002 murders of two American citizens and an Indonesian citizen in Timika, Indonesia.
As you know, President Susilo Bambang Yudhoyono participated in IMET training, but few Indonesian officers have in recent years. As a result of the IMET decision, we expect that over 40 Indonesian military personnel will study professional military courses side-by-side with U.S. officers in 2006, including training in human rights and civilian oversight. In May 2005, the Secretary announced that Foreign Military Sales -- which allow Indonesia to purchase U.S. military equipment through U.S. government channels -- were restored.
This allowed the U.S. government to assist in the purchase of parts and service for non-lethal items such as the Indonesian fleet of C-130s, which were vitally needed during the Aceh relief effort. The Secretary then took the third step in determining that waiving legislative restrictions on Foreign Military Financing (FMF) and lethal equipment export licenses for Indonesia was in the U.S. national interest. This is important because it will allow us to assist the Indonesian military's ongoing reform, enhancing capacity, interoperability and civilian control. The decision also removes a major impediment to closer cooperation with the Indonesian government across the board.
My colleagues and I worked hard to get to this point for three reasons: we believe in the strategic importance of Indonesia; we value the democratic transformation that Indonesia has undergone in recent years; and we need to work with the Indonesian government to achieve our own vital national security goals.
In short, we believe that carefully targeted military assistance will support Indonesia's reform process and is in our own national interest. All three of these policy steps this year were in keeping with President Bush's and President Susilo's joint statement in May 2005, when they said that "normal military relations would be in the interest of both countries...and undertook to continue working toward that objective." In this new military-to-military context, we will hold discussions early next year about what they and we see as priority areas for cooperation. We are interested in military-to-military cooperation that:
Achieving justice for the Timika murders also remains a priority for the U.S. Government. Indonesia itself recognizes the importance of this case, as President Susilo made clear during his May 2005 visit. President Susilo met with Patsy Spier, the widow of one of the Timika victims, and the Indonesian police and military have since worked with the FBI on-site in Timika to pursue this investigation.
I have gone into some detail on our military-to-military relationship because it is a significant policy shift this year. However, I don't want to leave the impression that we emphasize the military side over our other programs with Indonesia. Quite the contrary. Congress has appropriated US$1 million in Foreign Military Financing funds for the Indonesian Navy during the coming year. IMET funding is $800,000 for Indonesia in FY 2006. In contrast, our U.S. Agency for International Development programs for Indonesia are funded at about $143 million for FY 2005 -- orders of magnitude larger than military cooperation.
USAID assistance focuses on five main areas: basic education, democratic governance, health care, water and the environment, and economic growth. We've recently concentrated on basic education in Indonesia, after President Bush announced a $157 million six-year education initiative in FY 2004. Those programs are now training 24,000 teachers and administrators in seven provinces, directly reaching an estimated 300,000 students in both public and private schools, be they secular or religious of any faith. In addition, there is a new higher education initiative that results directly from USINDO's lobbying -- using that term in its positive sense. Because of the work of Ambassador LaPorta and Karl Jackson and others, State's Education and Cultural Affairs bureau is requesting $20 million in funds over the next four years so that faculty from Indonesian colleges and universities can study for advanced degrees in the United States. I understand that USINDO is also exploring with the government of Indonesia and others ways to expand this program. We will be working closely with you to ensure its success. I also salute USINDO's work toward establishing a school in Banda Aceh, recognizing how many months and grueling trips your members have invested to get that project off the ground.
We are developing other areas of partnership with Indonesia as well. In Aceh, we continue to work with Indonesia on the massive tasks of reconstruction and implementation of the Helsinki peace agreement. USAID is providing over $400 million to help Aceh build back better. The largest project under this program is the 240-kilometer Banda Aceh to Meulaboh road, the economic backbone of the region. It will ensure mobility, improve communication, create local jobs, and increase the potential for economic growth in the tsunami-devastated area. With respect to the peace accord, the U.S. Government is providing over $11 million of assistance. These funds are being used to support various programs including the reintegration of former GAM combatants; drafting the new Law on Governing Aceh; and human rights training for the Aceh police. We have reinvigorated our economic dialogue with the Indonesian Government under our Trade and Investment Framework Agreement, or TIFA, to create the conditions that could make future consideration of a Free Trade Agreement more possible. During President Susilo's visit to Washington in May, we resumed an energy dialogue with Indonesia, with the goal of increasing U.S. investment in the Indonesian oil and power sectors. In addition, the Millennium Challenge Corporation has selected Indonesia for its Threshold Program, and we look forward to working with Indonesia to utilize this opportunity to further advance
President Susilo's economic and social goals.
Finally, on the subject of partnership, I would like to stress the importance
of State's partnership with USINDO. Through your many seminars, cultural
events, and high-profile gatherings such as the dinner for President Susilo last
May, you significantly advance the U.S.-Indonesian relationship and, as
important, educate a growing number of Americans about Indonesia. Thank you for
the work you do, and please let us continue to work together with this
fascinating and critically important country and its people. I see Indonesia as the
greatest success story today in the Southeast Asia region. Its continued
future success is vital not only for its people and the Southeast Asian region,
but to help create a world that affirms the values of freedom and democracy
that we all cherish.
Eric John is Deputy Assistant Secretary of State in the Bureau of East Asian and Pacific Affairs. The article is an excerpt from his policy speech delivered during a recent UNSINDO event in Washington D.C.