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| Indonesia in depression due to economical weakness |
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The first known hominid inhabitant of Indonesia was the so-called "Java Man", or Homo erectus, who lived here half a million years ago. Some 60,000 years ago, the ancestors of the present-day Papuans move eastward through these islands, eventually reaching New Guinea and Australia some 30-40,000 years ago. Much later, in about the fourth millennium B.C., they were followed by the ancestors of the modern-day Malays, Javanese and other Malayo-Polynesian groups who now make up the bulk of Indonesia's population.
By the turn of the 20th century, nationalist stirring, brought about by nearly three centuries of oppressive colonial rule, began to challenge the Dutch presence in Indonesia. A four-year guerilla war led by nationalists against the Dutch on Java after World War II, along with successful diplomatic maneuverings abroad, helped bring about independence. The Republic of Indonesia, officially proclaimed on August 17th, 1945, gained sovereignty four years later.
During the first two decades of independence, the republic was dominated by the charismatic figure of Sukarno, one of the early nationalists who had been imprisoned by the Dutch. General (ret.) Soeharto eased Sukarno from power in 1967. Indonesia's economy was sustained throughout the 1970's, almost exclusively by oil export.
The Asian financial crisis, which broke out in mid-1997, paralyzed the Indonesian economy with the rupiah losing 80% of its value against the US dollar at the peak of the turmoil.
 The islands of Raja Ampat may well be home to the greatest biodiversity in the world, with almost 600 species of coral, abundant plant life, and unique creatures, such as a shark that walks on its fins and a shrimp that looks like a praying mantis.
 Construction of Java's Borobudur Temple, one of the world's largest Buddhist monuments and a World Heritage site, began in the eighth century, under the Sailendra dynasty. Framed by four volcanoes, it stands 105 feet (32 meters) high.
 Borobudur Temple was damaged in an earthquake and buried for centuries under volcanic ash. Excavations began in the early 20th century.
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 Goa Gajah, Bali: The intricately carved walls of Goa Gajah (Elephant Cave) on the island of Bali depict leaves, waves, animals, and demons.
 Minangkabau Women: Young Minangkabau women in traditional clothes wait to perform a dance in Bagor.
 Balinese barong dance: Opulent costumes adorn performers in a Balinese barong dance, which brings mythological characters to life in a struggle between good and evil, complete with choreographed fight scenes reminiscent of professional wrestling.
 Istiqlal Mosque, Jakarta: Jakarta's Istiqlal Mosque, one of the largest mosques in the world, can hold more than 70,000 worshippers at a time. Arab traders brought Islam to the region a thousand years ago. Today Indonesia is the world's most populous Muslim country.
 Rice paddies cover terraces built into an Indonesian hillside. Farmers on Java are surrounded by more than 30 volcanoes, which provide the rich volcanic ash that allows them to harvest three crops of rice in a season unlike farmers on neighboring Borneo, who have only one volcano.
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