Suharto's Legacy: Indonesia's Land Reform and Rural Development Challenges
Politics
September 26, 2026
About 3 min
VOI English

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Suharto's Legacy: Indonesia's Land Reform and Rural Development Challenges

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President Suharto's land reform efforts contributed to rural development but left unresolved issues like land ownership inequality and environmental problems. Modern Indonesia faces these legacies while striving for sustainable development.

Indonesia's modern history has been significantly shaped by land reform during the era of former President Suharto (1967-1998), which had a considerable impact on rural development. During this period, the government, through a policy known as "Batang Hidak," advanced land redistribution in certain regions. This provided many farmers with the opportunity to own land for the first time, contributing to increased agricultural productivity and the revitalization of rural economies. The improvement in food self-sufficiency, particularly in rice cultivation, is seen as a response to the economic challenges faced by Indonesia at the time. However, this reform had both its positive and negative aspects. While land redistribution progressed, it is also pointed out that land concentration occurred in the hands of some influential figures and government officials during the process, leaving persistent land ownership inequality. Furthermore, criticism persists that the expansion of agricultural land led to deforestation and changes in the ecosystem. Even after the fall of the Suharto regime, these land issues continue to be structural challenges faced by Indonesian society. Disputes over land ownership and the dilemma between development and environmental conservation in rural areas remain critical themes for modern Indonesia to address. Currently, the Indonesian government is seeking policies that aim for more equitable and sustainable land use and rural development, building upon the legacy of the Suharto era. Leveraging past lessons and addressing the diverse needs of local communities while balancing economic growth and environmental protection will be crucial for Indonesia's future.

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