SHARIAsource

This statute, which replaced Law No. 5 of 1974 and was promulgated by Soeharto's successor, B.J. Habibie, initiated the decentralisation of power vested in the central government. It granted the municipalities (kota), regencies (kabupaten) and provinces (propinsi) of Indonesia autonomy to legislate with regard all matters, except foreign affairs, defence, security, judicial matters, national monetary and fiscal matters, and religion.