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Habibie, in full Bacharuddin Jusuf Habibie (born June 25, 1936, Parepare,
Indonesia) Indonesian aircraft engineer and politician who was president of
Indonesia (199899) and a leader in the countrys technological and economic
development in the late 20th and early 21st centuries.
Habibie believed his enterprises ultimately would spawn high-tech ventures in the
private sector and allow the country to climb the technology ladder. In 1993 he
unveiled the first Indonesian-developed plane, which he helped design, and in the
following year he launched a plan to refurbish more than three dozen vessels
bought from the former East German navy at his initiative. The Finance Ministry
balked at the cost of the latter endeavour, while the armed forces thought that its
turf had been violated. Nevertheless, Habibie got more than $400 million for
refurbishing.
In March 1998 Suharto appointed Habibie to the vice presidency, and two months
later, in the wake of large-scale violence in Jakarta, Suharto announced his
resignation. Thrust unexpectedly into the countrys top position, Habibie
immediately began to implement major reforms. He appointed a new cabinet; fired
Suhartos eldest daughter as social affairs minister as well as his longtime friend as
trade and industry minister; named a committee to draft less-restrictive political
laws; allowed a free press; arranged for free parliamentary and presidential
elections the following year; and agreed to presidential term limits (two five-year
terms). He also granted amnesty to more than 100 political prisoners.
In 1999 Habibie announced that East Timor, a former Portuguese colony that had
been invaded by Indonesia in 1975, could choose between special autonomy and
independence; the territory chose independence. Indonesia held free general
elections (the first since 1955) in June, as promised. Later that year Habibie ran for
president, but he withdrew his candidacy shortly before the October election, which
was won by Abdurrahman Wahid. After Wahid took office, Habibie essentially
stepped out of politics, although in 2000 he established the Habibie Center, a
political research institute.