Indonesian economy threatened, says World Bank

The World Bank says that if political instability in Indonesia deepens, it could cause the country's fragile economy to collapse.

In a report presented in Jakarta, the World Bank said the government was preoccupied with regional unrest and political and ethnic tensions rather than much needed economic reform.

It said the economy was likely to -- as it put it -- muddle through, but there was little incentive for further external support. Correspondents say that little in the Indonesian economy has changed since the country's economic collapse during the Asian financial crisis three years ago, even though the international community has pumped in twenty billion dollars in financial aid.

From the newsroom of the BBC World Service