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Subject

Counterterrorism policy and Indonesia's new cabinet.

Significance

The new coordinating minister for security, Wiranto, said yesterday that he had suggested joint land-based counterterrorism activities with Malaysia and the Philippines, to support the tripartite maritime patrols underway. Wiranto was one of the new security-related appointees in President Joko 'Jokowi' Widodo's July 27 cabinet reshuffle, a reshuffle which reflects a growing focus on combatting terrorism. The reshuffle came after the death of Santoso, the leader of the East Indonesia Mujahideen and Indonesia's most-wanted Islamist militant, which was confirmed on July 20.

Impacts

The 'Maritime Axis' could receive a boost under Luhut Pandjaitan, but needs higher military and infrastructure spending to bear fruit.

Controversially, the military will probably gain a greater domestic counterterrorism role.

Jokowi's new cabinet will help him to strengthen his own political position.

The new cabinet appointments are likely to encourage investors eyeing Indonesian opportunities.

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