Conflict, contestation, and corruption reform: the political dynamics of the EITI in Indonesia

1. We know little about the political dynamics shaping country responses to the EITI, despite their importance as a determinant of these responses and the fact that the EITI’s success hinges on its ability to attract country members. This paper seeks to enhance our understanding in this respect by examining the Indonesian case. Indonesia was slow to sign up to and implement the EITI but eventually did so. It has remained compliant with the initiative more or less ever since, although its commitment has waned in recent years. We argue that this response reflected the changing balance of power between four sets of actors – national politico-business elites, regional politico-business elites, controllers of mobile capital, and subordinate classes and their NGO allies – as affected by economic shocks, political mobilisation, and elites’ political strategies. We accordingly suggest that EITI proponents consider the nature of such dynamics in devising reform strategies