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The Japanese occupied the islands from 1942 to 1945 before the Dutch returned to claims their colony; however, fierce resistance ensued and at the end of 1949 the Dutch conceded sovereignty in all Indonesia except West Irian.
Indonesia is demographically the fifth largest nation in the world. Geographically, Indonesia is an archipelago of about 13,000 islands that extend over 3,000 miles. Because of the proximity of Malaysian and Singaporean ports and financial centers and the difficulty of patrolling so many islands, strict control of trade and financial flows is impossible. Geography has made Indonesia a truly open economy...
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