Learning from Kautilya: Strategic Lessons for Indonesia’s Political Failure

Indonesia is facing increasing political turmoil as the country is already facing ongoing issues ranging from blatant corruption and nepotism to an inconsistent foreign policy. This threatens the country’s democratic integrity and its long-term economic outlook. Which is why, in these trying times, Indonesia might be advised to take a page from a 2000-year-old Indian treatise, the Arthashastra. An ancient Indian treatise by political strategist Kautiliya, which may provide relevant insights in solving Indonesia’s governance struggles (Boesche 2002).

Kautilya’s Arthashastra champions a form of rule grounded in which focuses on strategic thinking, ethical pragmatism, and public welfare (lokasangraha). This can be of relevance to the recent revision of the TNI Law (RUU TNI), which expands the Indonesian military to more civilian positions. This has raised over the deterioration of civilian oversight and accountability measures (Kompas 2024). Kautilya has warned against unchecked power and emphasized institutional balance to prevent an authoritarian drift (Rangarajan 1992).

The Arthashastra outlines a multi-layered administrative system that consists of varying arms of governance, military, civil, and judicial, which are kept segregated, but coordinated, as it has consistent accountability measures to avoid an abuse of power (Kangle 2010). Moreover, Kautilya has also emphasized professional specialisation, where soldiers will always have a role in the defence of the kingdom and not govern it. He also warns that mixing this role would cause inefficiency and disloyalty within the kingdom. Similar to the context of RUU TNI, Kautilya suggests that blurring the line between the civilian and military function would cause bureaucratic confusion and a slide into authoritarian tendencies. This is where institutions can only become accountable only to themselves (Rangarajan 1992).

Globally, Indonesia’s non-alignment stance has faced constant challenges through rising tensions between global powers. The rising tension in the US-China trade war, which involves semiconductor bans, increased tariffs, and tech decoupling in early 2025, will pose economic and diplomatic risks for Indonesia (The Economist 2025). Kautilya’s Mandal Theory has always encouraged forming alliances based on aligned stances based on realism, not ideology. Based on this framework, Indonesia must safeguard its interests and autonomy by implementing a balancing act for both sides while diversifying its economic and diplomatic ties (Rangarajan 1992).

Kautilya’s philosophy is rooted in realpolitik. It teaches that a state’s survival is dependent on its ability to adapt and its interest-based action, not sentiment. In the Arthashastra, it urges leaders to shift alliances based on national priorities and stability over external loyalty. This implies that Indonesia should also strengthen its regional ties, south-south partnerships, and build its domestic resilience in order to preserve its sovereignty without inviting conflict (Boesche 2002; Rangarajan 1992; Kangle 2010).

The Arthashastra is not a relic, it is a reminder that good governance can only be attained through strict oversight, discipline, and unrelenting commitment to its people. Indonesia cannot afford to ignore its lessons or ancient ones. As Kautilya wrote: “He who is possessed of foresight, courage, and perseverance will not be defeated even by the greatest calamity” (Rangarajan 1992).

Bibliography

Boesche, Roger. The First Great Political Realist: Kautilya and His Arthashastra. Lanham, MD: Lexington Books, 2002.

Kangle, R. P. The Kautilya Arthashastra, Part II: An English Translation with Critical and Explanatory Notes. Delhi: Motilal Banarsidass, 2010.

Rangarajan, L. N. Kautilya: The Arthashastra. New Delhi: Penguin Books India, 1992.

Kompas. “RUU TNI: Kontroversi Peran Militer dalam Jabatan Sipil.” January 2024. https://www.kompas.com.

The Economist. “The China–US Trade War Escalates Again.” March 2025. https://www.economist.com.