From Indonesia to the US governments stand powerless in face of markets

The slums of Jakarta, Indonesia’s giant, sprawling capital, are among the largest in Asia. In their shacks clustered around teeming alleys, millions of people endure grinding hardship of a kind that few in the rich world could imagine.

At the stroke of midnight on May 23, their poverty was suddenly worsened. The rise in global oil prices forced Indonesia’s government to punish the poor by increasing the cost of fuel by an average of 28.7pc.

There was no unrest on the streets of Jakarta after the announcement. Many of Indonesia’s 200 million people understand a simple truth: their government is almost entirely powerless in the face of global economic forces.

Telegraph