KONFRONTASI AND AUSTRALIA’S AID TO INDONESIA DURING THE 1960s

Pierre van der Eng ()

ANUCBE School of Economics Working Papers from Australian National University, College of Business and Economics, School of Economics

Abstract: Australia’s relationship with Indonesia became strained after Indonesia’s declaration in 1963 of confrontation’ (konfrontasi) with Malaysia. During 1964-65, Australia was engaged in a covert war against Indonesia, but it continued to give aid to the country. This ambiguity in Australian foreign policy was consistent with the overnment’s principle of maintaining a firm but friendly attitude towards Indonesia. A second reason was that government was keen not to abandon an important aid project in Indonesia, the Aeronautical Fixed elecommunication Network. The project remedied deficiencies in Indonesia’s civil aviation communications system and would benefit Qantas flights through Indonesian airspace. Continuation of aid would keep lines of communication with Indonesian officials open that would otherwise be closed.

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