INDONESIA: Birth of a Nation

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Equal Rights. The final Dutch-Indonesian agreement would set up the Republic of the United States of Indonesia, a federation with a constitution much like that of the U.S., in the general framework of a Netherlands Indonesian Union, much like the British Commonwealth. In this union the new nation and The Netherlands would have "equal status with equal rights." Queen Juliana, as head of the Union, would embody "the concept of voluntary and lasting cooperation between the partners." All Dutch forces would leave Indonesia within six months of transfer of sovereignty (to take place not later than Dec. 30). The U.S.I. would control its own army & navy, although the Dutch would keep the right to use the Surabaya naval base under Indonesian supervision; the U.S.I. would also control its own economy, although it promised not to seize any Dutch property, and to consult the Dutch in making trade agreements with foreign nations.

Last week, as the delegates solemnly signed the nine sheets of paper spread out on the green baize table in The Hague's medieval Ridderzaal, The Netherlands formally relinquished her 300-year rule over her rich island empire. There seemed to be at least a fair chance that the new Indonesian Republic might become a stable island in the Communist-roiled waters of Southeast Asia.