Indonesia's current form of government is based on the 1945 Constitution, which was readopted on July 5, 1959. The Constitution vests the highest authority in the People's Consultative Assembly (MPR) and provides for the establishment of four independent branches of government: the Presidency, the House of People's Representatives (DPR), the Supreme Audit Board and the Supreme Court. The Constitution also provides for the establishment of the Supreme Advisory Council, which functions as a consultative body to the president.
The basic philosophy of the Indonesian people is embodied in a set of five fundamental principles known as Pancasila. The principles, or "silas," are:
- The belief in one supreme God;
- Justice and civility among the people;
- he unity of Indonesia;
- Democracy through deliberation and consensus among representatives;
- Social justice for all.
The Republic of Indonesia is a unitary republic. The sovereignty of the state is vested in the people and is exercised by the People's Consultative Assembly, the highest authority of the state. The Assembly has full authority to elect the president and to determine the "General Outlines of State Policy" (GBHN) to be implemented by the president.
The Legislature
The Constitution prescribes that the People's Consultative Assembly (MPR) shall convene at least once every five years and that all decisions of the Consultative Assembly shall be rendered by majority rule. The Consultative Assembly consists of all 500 members of the House (DPR). The 1985 General Election Law provides that the Consultative Assembly shall also comprise - in addition to the 500 members of the House - a further 500 appointed members, consisting of regional representatives, representatives of the functional groups, and those designated by the political parties in proportion to the results of the general elections held to elect members of the House.
Members of the Assembly serve for a term of five years.
To initiate legislation, the government submits drafts of laws to the House - acting through ministerial departments - or the members of the House may themselves take the initiative by submitting drafts. Before a bill becomes law, it passes through four stages in the House: first, explanation of the proposed legislation; second, general debate on the proposal; third, discussions between the appropriate House commission and the relevant government departments for final drafting; and fourth, final debate and vote in the House. If the House accepts the bill, it is then sent to the president for his signature.
Judicial and Advisory Bodies
The judicial powers of the state are exercised by the Supreme Court. Its 51 members are recommended by the Assembly and appointed by the president.
The Supreme Audit Board has the authority and responsibility of auditing the state's finances and reporting the results of its investigations and audits to the House. Its seven members are recommended by the Assembly to the president for appointment to five-year terms.
The Supreme Advisory Council is charged with the responsibility to advise the president on specific issues he may raise. It may also submit proposals on its own initiative to the government for consideration. The council is strictly advisory in nature, and its 45 members are elder statesmen representing various segments of society, appointed by the president.
The Executive Branch
The president and vice president are elected by a majority vote of the Assembly. The president has the responsibility and authority for conducting the administration of the state, including the appointment of the cabinet, and is the supreme commander of the armed forces. The president has the right to declare war, make peace, conclude treaties with other states and enact laws. Actions by the president on all these matters must be ratified by the House.
Regional Government
The government of each of Indonesia's 33 provinces is carried out on four levels. Each province is headed by a governor elected to a five-year term by the provincial assembly, a regional body similar to the Assembly at the national level. Provincial governors must be confirmed by the president, who approves the governorship by formal decree. The president also approves the election of the governor of Jakarta, which is designated as a "special district". At the second level is the regency (or county) government, headed by a regent elected by the regent's assembly. The third level is the subdistrict, an administrative subdivision of the regency level. The village, or "desa," government is the municipal level. Funding for provincial and regional government activities is provided almost entirely in the form of transfer payments from the central government.
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About Indonesia 
