ROHINGYA CONFLICT AND ITS IMPACT IN SOUTHEAST ASIA ECONOMIC SECURITY

UNDERGRADUATE THESIS

ROHINGYA CONFLICT AND ITS IMPACT IN SOUTHEAST

ASIA ECONOMIC SECURITY

Written by: Dea Sulis Bundiarto

20130510452

International Class

Department of International Relations

Faculty of Social and Political Sciences

Universitas Muhammadiyah Yogyakarta

UNDERGRADUATE THESIS

ROHINGYA CONFLICT AND ITS IMPACT IN SOUTHEAST

ASIA ECONOMIC SECURITY

Written by: Dea Sulis Bundiarto

20130510452

International Class

Department of International Relations

Faculty of Social and Political Sciences

Universitas Muhammadiyah Yogyakarta

ROHINGYA CONFLICT AND ITS IMPACT IN SOUTHEAST ASIA ECONOMIC SECURITY

Presented to fulfill the requirements for achieving a bachelor degree of Department of International Relations, Faculty of Social and Political Sciences,

Universitas Muhammadiyah Yogyakarta

UNDERGRADUATE THESIS

Written by:

Dea Sulis Bundiarto 20130510452

Advisor:

Siti Muslikhati, S.IP., M.Si

INTERNATIONAL PROGRAM OF INTERNATIONAL RELATIONS FACULTY OF SOCIAL AND POLITICAL SCIENCES

UNIVERSITAS MUHAMMADIYAH YOGYAKARTA 2017

ENDORSEMENT PAGE

This Undergraduate Thesis is Entitled:

ROHINGYA CONFLICT AND ITS IMPACT IN SOUTHEAST ASIA ECONOMIC SECURITY

Written by:

Dea Sulis Bundiarto 20130510452

This undergraduate thesis has been examined and endorsed by the board of examiners from the Department of International Relations, Faculty of Social and Political Sciences, Universitas Muhammadiyah Yogyakarta.

Day / Date : Saturday, April 8 2017 Time : 08.00 WIB

Place : Room HI.A

Acknowledged by : Advisor/Chief of Examiner

Siti Muslikhati, S.IP., M.Si.

NIK. 163 031

Examiner I Examiner II

Prof. Dr. H. Bambang Cipto, M.A Dr. Surwandono, M.Si.

STATEMENT OF ORIGINALITY

I hereby declare that my thesis is original and has not been asked to get an undergraduate academic degree at Universitas Muhammadiyah Yogyakarta, and/or at other universities.

In this paper there is no work or opinions that have been written or published by other people, unless it is clearly written and included as a reference in the script to mention the name and listed in the references.

If in future there is untruth in this statement, then I am willing to accept academic sanctions in accordance with the rules that apply at Universitas Muhammadiyah Yogyakarta.

Yogyakarta, April 2017

“Don’t wish it was easier, wish you were better. Don’t wish for less problems, wish for more skills. Don’t wish for less challenges, wish for more wisdom. The major value in life is not what you get. The major value in life is what you become. Success is not to be pursued; it is to be attracted by the person you become.” – Jim Rohn

ACKNOWLEGMENT

The highest praise and gratitude dedicated to Allah subhanahu wa ta’ala who always give His endless kindness and bless that make the writer possible to

complete this undergraduate thesis entitled: “Rohingya Conflict and Its Impact in Southeast Asia Economic Security”. This undergraduate thesis is submitted in

order to fulfill the requirement for achieving S-1 Degree of International Relations major, Faculty of Social and Political Science, Universitas Muhammadiyah Yogyakarta as well as the application of the theories and knowledge that the writer had already obtained during the undergraduate study.

The writer also would like to express his sincere gratitude to all those who have contributed in the process of writing this undergraduate thesis especially for the advisor of this undergraduate thesis, Siti Muslikhati, S.IP, M.Si, also to all of the board of examiners, Prof. Dr. H. Bambang Cipto, M.A, and Dr. Surwandono, M.Si. The writer realizes that there are still rooms for improvement for this undergraduate thesis. The writer hopes that this undergraduate thesis could be useful for international relations study.

Yogyakarta, April 2017

EXTENTED GRATITUDE

The writer realized that this thesis will not written smoothly and its process will not complete smoothly without any support and prayer from everyone who involved. Therefore, special thanks and gratefully the writer dedicates for:

1. First of all, I thank Allah SWT, the most gracious and most merciful, all praises be to Him. With His amazing help and its blessing, I eventually can finish this undergraduate thesis.

2. For my beloved parents, Papa (Alm.) although you’re not here anymore, I know you’re always looking over me from heaven, I want you

to know that your daughter has completed her thesis and this is dedicated for you. I love you, Pa. For Mama, thank you for everything you have given to me. For raising me and guided me to become the person that I am today. For all the support and prayers that lead me to my success, I thank you for that. Having you as my mom is one of the best blessing from Allah. I love you, Mama.

3. For my one and only brother, Mas Dela, who always giving me advice and motivation in writing this thesis. Thank you so much for your endless support and affection.

4. For all my families; my Grandma, Grandpa, Aunts, Uncles, Cousins. Thank you for all the endless support!

5. For Ms. Nurul Yusnita, the language adviser who has guided me to make this thesis language in such good academic language. Thank you so much!

6. For my beloved pals, Ala-Ala; Asep, Intan, Dini, Tata, Dede, Azi, Niken, Bunda, Cahya, Dinda H, Dinda U, Latifah, Metri, Eria, Linda,

Yudha, Rahma. Thank you for every laughs, cheesy jokes, nonsense talks, the memories, the surprises, the support and everything. I’m really

grateful that I’ve known you guys during my college life. I love you all!

See you guys on top! ☺

7. For IPIREL 2013, I thank all of you for all the supports. I believe we will meet in far better occasions in the future with each one of us succeeded at our own careers. Amin!

8. For all IPIRELIANS. Nabila Handayani, Zain Ramas, Sandy Satya, Linggar Pangestu, Sigit Budiyanto, Mas Ori, Ghiffari Yusuf, Paul Muller, Melati NM, and others. Thank you for all the supports!

9. For Nanda Mutiah Ayuningtyas, Tiara Rahma, and Yuniar Rizky.

My not-so-best friend since high school, hahaha. Thank you for always support me in every situation. For always be there, for accept me for who I really am, for all the laughs and motivation.

10.For Angel-Angel; Angel Irma, Angel Ayas, Angel Dera, Angel Dita, hahahaha my super cool group since Junior High School. Thank you for all the supports!

11.For KKN 022 UMY mates. Thank you for all the support and the life-lesson you guys gave me. It is very nice to know you guys all! Gatel Squad; Amanda, EL, Dio, Ulfa, thank you for every laughs and all the memories. May we always have each other back.

12.For Green Harmony Angels, all my boarding mates, thank you for all the support and the memories! ☺

13.For De La Salle University squad; Aqilla, Linda, Ulfa, EL, Dinda, Kak Cocip, Iqbal. Thank you for all the life experiences and all the lesson you

have been given to me, it’s such an unforgettable memories to stay abroad

with you guys! I miss you all!

14.For all De La Salle University Exchange Students. Isaac, Eri Negishi, Marie Oba, Chisa, Alice, Anja, Joshua, Aqidah, Nozomi, Karen, Marie, Michelle, Zhevsky, Nial, Donghee, Megan, Lyka, Yna, Mica, Nat, Brent, Daniyyah, and others. Thank you so much for all the amazing memories.

I’m grateful to know you guys all. I hope I can see you soon. I miss you

guys and see you when I see you! ☺

15.Last but not least, all those who have given their supports that I may forgot to mention, I sincerely thank all of you for your supports. ☺

ABSTRACT

This study explored the 2012 Arakan conflict in Myanmar and its impact on the economic security of the region. The crisis is basically an ethnic conflict between the Rakhine Buddhist majority and Rohingya Muslim minority. This research focused on the most important trade zone of the region, the Straits of Malacca and its connection with the Arakan conflict. Myanmar’s position that ties closely with Strait of Malacca so it has potential to threaten the strait. The sole purpose of this research is also to show the impacts of the Arakan conflict on the regional economic security of Southeast Asia region.

Keywords: Arakan conflict, Rohingya Muslims, Rakhine Buddhists, Straits of Malacca Regionalization, Spillover, Regional Security Complex Theory.

TABLE OF CONTENTS

UNDERGRADUATE THESIS ... I

ENDORSEMENT PAGE ... i

STATEMENT OF ORIGINALITY ... ii

ACKNOWLEGMENT ... iv

EXTENTED GRATITUDE ... v

ABSTRACT ... viii

TABLE OF CONTENTS ... ix

TABLE OF FIGURES ... xi

CHAPTER I INTRODUCTION ... 1

A. Background ... 1

B. Research Question ... 4

C. Theoretical Framework... 4

1. Regional Security Complex Theory (RSCT) ... 4

2. Spillover Effect Theory ... 7

D. Hypothesis ... 8

E. Purpose of Writing ... 8

F. Research Methods ... 8

G. Scope of Research ... 9

H. System of Writing... 9

A. Overview of Southeast Asia ... 12

B. Economic Condition in Southeast Asia Countries ... 13

C. Potential and Condition of Strait of Malacca ... 18

CHAPTER III ROHINGYA CONFLICT 2012 ... 23

A. History of Rohingya ... 23

B. The Response of Myanmar Government Towards Rohingya ... 28

C. Countries Response to Rohingya ... 30

CHAPTER IV THE IMPACTS OF ROHINGYA CONFLICT TOWARD ECONOMIC SECURITY ... 39

A. Affects on the Straits of Malacca... 39

B. Threats to Southeast Asia Economic Security ... 45

CHAPTER V CONCLUSION ... 51

TABLE OF FIGURES

Figure 1. 1 Trade route via Strait of Malacca... 7

Figure 1. 2 Strait of Malacca Map... 24

Figure 1. 3 Rohingya Refugees route via Strait of

Malacca... 48

Figure 1. 4 Strait of Malacca Barrels... 50

ABSTRACT

This study explored the 2012 Arakan conflict in Myanmar and its impact on the economic security of the region. The crisis is basically an ethnic conflict between the Rakhine Buddhist majority and Rohingya Muslim minority. This research focused on the most important trade zone of the region, the Straits of Malacca and its connection with the Arakan conflict. Myanmar’s position that ties closely with Strait of Malacca so it has potential to threaten the strait. The sole purpose of this research is also to show the impacts of the Arakan conflict on the regional economic security of Southeast Asia region.

Keywords: Arakan conflict, Rohingya Muslims, Rakhine Buddhists, Straits of Malacca Regionalization, Spillover, Regional Security Complex Theory.

CHAPTER

I

INTRODUCTION

A. Background

Myanmar (a.k.a Burma) has been in a state of constant civil war since independence in 1948 (Stuff, 2011). Myanmar is one of the most ethnically diverse countries in mainland in Southeast Asia with some ethnic groups demanding equality with the Burmans in the three public realms, specifically the protection of ethnic culture, language, and religion, the devolution of tangible executive, legislative, and judicial power to the ethnic states within a true federal union, and a democratic form of government (Minority Rights Group International, 2011).

In western Myanmar, precisely in Arakan, there are two major ethnic races, Rohingya (Muslims) and Rakhine (Buddhist). Rohingya is a muslim minority in predominantly Buddhist Myanmar. They are considered as a stateless nation since they are not recognized by the national law so they have limited access to education, health care, etc. On June 8th 2012, violence between the Rakhine Buddhist majority and Rohingya Muslim minority broke out. According to Human Rights Watch, the violence quickly evolved into large-scale, state-sponsored violence against the Rohingya Muslim minority (Smith M. F., 2012). A number of conflicts with armed groups persist, and have resulted in almost 100,000 internally displaced people (Smith M. , 2013). The victims are homeless and lacking the most basics of human rights (Life, Freedom, Food, Medicine, etc.).

Some of them have fled to neighboring nations. Thousands of Rohingya ethnic are fleeing from persecution. Boarding overcrowded boats (and often enduring horrific condition) they are going to countries scarcely able to help them — or in some cases, frankly, not interested in helping them. The obvious candidates to house displaced Rohingya have appeared unwilling or unable to provide permanent homes for them. For example, Malaysia and Indonesia have turned away Rohingya because the countries claim they are financially unable to accept them. The Thai navy has similarly rebuffed the refugees. Bangladesh, a Muslim majority nation, had informally harbored the Rohingya for years only to order them out of border camps (Tennery, 2015).

Commonly, the mainstream concern was the role of the government and the human rights violations resulted by the conflict. However, the potential possibility of threat to regional economic security issues in Southeast Asia cannot be taken for granted. That is why, the hypothesis of the research is conducted on one particular regional issue, regional economic security threat created due to the conflict, especially in the Strait of Malacca and the surrounding countries.

Straits of Malacca is situated in the bulk of Myanmar. It is one of the most important shipping lanes in terms of strategic and economic perspective. This lane is extremely important for the region because major Asian economies like India, Japan, China, Indonesia and Korea are linked via the Strait of Malacca (Lotha G, 2013). Direct trade from many countries to Southeast Asia has been transported also through this route everyday and vice versa. Therefore, any kind of threat to that particular zone could bring massive problem for trade

and business transportations to the strait, thus it creates economic imbalance over the surrounding countries.

Figure 1.1 – Trade route via Strait of Malacca

(Lotha G, 2013)

Mr. Marteen Bosker who is an associate professor of University of Rotterdam along with Mr. Joppe de Ree on their research entitled Localizing Conflict Spillovers: Introducing Regional Heterogeneity in Conflict Studies discuss about the spillover effects of conflicts on respective regions. They examine the cases of the Burundi crisis and the Balkan conflict on their work to understand conflict spillover. Burundi civil war spread to Rwanda and subsequently to the Democratic Republic of Congo (also directly involving Uganda and Tanzania among others) and the conflict in the Balkan first involved mainly Serbia and Croatia but it spread from there to Bosnia and Kosovo. According to them, these conflicts spread due to the spillover effect of the conflict. The cases of Balkan and Rwanda were discussed because both of the cases have similarities with the conflict in Myanmar. This research assumes that if spillover could happen in Balkan and Rwanda, it can occur in Myanmar case as well (Marten Bosker, 2009).

B. Research Question

How does the ethnic violence in Arakan state of Myanmar affect the Southeast Asia economic security?

C. Theoretical Framework

Internal issues of Myanmar crisis are mostly domestic and so, the scope of topic making ine International Relations (IR) issue is limited, even though the potential impact on regional economic security clearly brings this topic into the field of IR. Moreover, the research will be connected to International Relations issue using Regional Security Complex Theory (RSCT) and Spillover Effect.

1. Regional Security Complex Theory (RSCT)

Barry Buzan, a professor of International Relations at the London School of Economics, advances the Regional Security Complex Theory (RSCT). The central idea of RSCT is how security is clustered in geographically shaped areas. Security of each actor in a region interacts with the security of other actors. Regions and their security are now more self-directed and more influential. The countries which lie in a conflicting region which are not directly involved in conflict or war would also be considered as under the threat of it just because of the correlation of anarchy and geography (Stone, 2009).

Buzan argues “The formative dynamics and structure of the security complex are normally generated by the units within it – by their security perceptions of, and interactions with each other”. The basic concept

underpinning Buzan’s regional economic security complex is that a group of states whose primary security (trade, economy, environment, military) concerns link together sufficiently closely that their national securities cannot realistically be considered apart from one another. He also states “Regional

security is a relational phenomenon. Because security is relational, one cannot understand the national security of any given state without understanding the transnational pattern of security interdependence in which it is embedded”.

Another key concept of RSCT is most political and security threats travel more easily over short distances than over long distances, meaning that security threats will travel faster on regions than the entire globe.

In the Regional Security Complex Theory, there is concept known as security arrangements, which is defined as the way a country strives for order and security in the region by way of cooperation with neighboring countries in the region. The variables in the theory of Regional Security Complex can be divided into two variables, namely:

1. Internal Variables

The internal variables can be measured using several indicators, such as; geographical location, and the interaction between countries, and similarity in some aspects.

2. External Variables

External variables can be measured using two indicators, such as: current issues and the international situation.

The first variable, internal variables, measured using some types of indicators: geographical location, interaction, and the similarity in culture

systems, economy, social life, and politics. In geography, it is seen how big the role in defining the geographical location of a country as a region, because not all countries are adjacent to establish a collective security arrangement. The second indicator, the interaction between countries, it will show how often and how closely the interaction between countries in the region’s. Does the interaction between countries so deeply that they feel as a whole, or just

the little interaction to make them feel like doesn’t know their own neighbors?

Meanwhile, the third indicator system will see similarities in culture, economy, social life, and politics in the countries of the region. Most of these countries have something in common, so the sense of solidarity is also getting stronger.

For the second variable, external variable, are the things coming from outside the region that influence the formation of the security settings in a region. The first indicator in the external variables is the condition/state of the international environment, whether a state of the current international environment supports the establishment of security arrangements. The second indicator is the issues that developed at that time, whether or not it was in the developing world issues that require the cooperation of countries in the region, especially in terms of security settings such as the issue of ethnic conflict emerging in recent years, or even the issues raised turns out to have no effect on the establishment of security arrangements between countries in the region. Those indicators are then used to see whether or not the countries of the region will form a regional security complex which leads to the establishment of security arrangements (Angelika, 2015).

Since the author focuses on the economic security especially in the straits of Malacca, the author analyzes the internal variables using indicators of geographical location and interaction among states. Geographical position of Myanmar ties closely with the Straits of Malacca. Therefore, the violence in Myanmar has the potential to threaten the stability of the Straits.

2. Spillover Effect Theory

Moreover, the societal means such as trade, economy and security are correlated to each other. On the other hand, Marteen Bosker who is an associate professor of University of Rotterdam and Mr. Joppe de Ree state that:

“Regional integration may result in a spillover effect where one incident in one nation may spillover to the surrounding nations, even though the

surrounding nations are not directly involved with the internal happenings”

(Marten Bosker, 2009).

In the cases of ethnic conflict, the spillover effect can be very evident. Therefore conflict spillovers are important showing that- the fate of individual countries does not only depend on their own actions to prevent civil conflict, but also on what is happening in neighboring states around them. Therefore if the stability of the Strait is hampered, it can have negative impacts on strategy and economic security of the entire region.

Relating the Regional Security Complex Theory and Spillover Effect to the research topic; the sectarian violence in Myanmar can be seen as internal problem of Myanmar but the effects of the problem can have far reaching consequences to the regional economic security including the Straits of

Malacca which is the main route of trade in South East Asia thus affecting the whole region economically (Stone, 2009).

D. Hypothesis

Based on explanation above, it can be drawn hypotheses that the ethnic violence in Arakan state of Myanmar could effect Southeast Asia economic security due to: First, the geographical position that ties closely with the Malacca Straits, so the violence has the potential to threaten the stability of the Straits. Second, the spillover effect which can destabilize the entire economic security of the regional.

E. Purpose of Writing

The purpose of the research is to analyze whether the sectarian violence will have potential to threaten the stability of Straits, so it will have spillover effect on the entire Southeast Asia economic security, likewise defining regional security in connection with trade and economy. Using the Regional Security Complex Theory and Spillover Effect, the issue has been desribed within the lens of International Relations.

F. Research Methods

In this research, both quantitative and qualitative analytical method would be adopted in researching the question. Qualitative analysis like books, journals, the statements made by the director of ASEAN, Human rights reports, Journals, or written documents would be used in getting a general overview of the Arakan conflicts and its connection on the straits of Malacca. Meanwhile, the quantitative data, such as the trade volumes of Malacca ports

would help us to get more mathematical knowledge of trade in the region. Connecting both methods will give a clear answer to the research question since quantitative analysis is widely used in understanding the effect of ethnic conflict on economy.

G. Scope of Research

In this research, based on the theme, the author will limit the scope of research to avoid the discussion irrelevant and the evidence of hypothesis as well as research question that has been proposed. The author will look at the

data from 2012 until 2016 to analyze the Rohingya Conflict and the impacted

countries. Since the crisis erupted in 2012 until the latest conditions of Rohingya conflict. The author will also looked at the data on Malacca Port to analyze the trade and business transportations system in the Straits of Malacca.

H. System of Writing

CHAPTER I This chapter explains the background, theoretical framework, purpose of writing, hypothesis, scope of research, research methods, and the system of writing.

CHAPTER II This chapter explains about Southeast Asia situation and economic security before conflict erupted in 2012, as well as the potential and condition of the Strait of Malacca.

CHAPTER III This chapter explains the history of Rohingya and analysis of Rohingya Conflict in 2012.

CHAPTER IV This chapter explains the analysis on how Rohingya Conflict affected the most important trade zone: The Straits of Malacca, as well as the economic security of Southeast Asia countries.

CHAPTER V This chapter contains of the conclusion of research on Rohingya Conflict and Its Impact in Southeast Asia Economic Security.

CHAPTER II

SOUTHEAST ASIA ECONOMIC SECURITY

Before the explanation of Southeast Asia economic security itself, the author would like to explain about the Southeast Asia. Southeast Asia is a region in the southeastern part of the Asian continent. This area includes the Indochina and the Malay Peninsula and surrounding islands. Southeast Asia region consists of Mainland Southeast Asia and Maritime Southeast Asia. Countries that belong to the Mainland Southeast Asia are Cambodia, Laos, Myanmar, Thailand and Vietnam (William H. Frederick, 2009). While the countries that belong to the Maritime Southeast Asia are Brunei, the Philippines, Indonesia, Malaysia, Singapore and East Timor (New World Encyclopedia, 2015).

All countries of Southeast Asia are gathered into the organization called ASEAN (Association of South East Asian Nations), except East Timor that only existed as an observer for political reasons. The organization aims to promote economic growth, social progress and cultural development of its member countries, and peace in the region. Throughout its history, the relations among countries in Southeast Asia that are members of ASEAN have evolved on various issues. For countries that have proximity geographically, no wonder if the issues raised between countries in Southeast Asia are covering all aspects of the life of the state, such as aspects of economic, political, social, cultural, defense and security.

A. Overview of Southeast Asia

Southeast Asia has an area of Mainland Southeast Asia around 4,817,000 km ² and Southeast Asian waters around 5,060,100 km2. Southeast Asia consists of the countries of Indonesia, Malaysia, Singapore, the Philippines, Brunei Darussalam, Thailand, Myanmar, Laos, Kampuchea, and Vietnam, and East Timor. The largest country is Indonesia (land area > 1.8 million km2) and the smallest country is Singapore (area < 700 km²) (New World Encyclopedia, 2015).

Based on the latitude and longitude, Southeast Asia is in the 28° n – position 11° s and 93° e – 141° e. Southeast Asia passes the Equator and Tropic of Cancer. The geographical position of Southeast Asia is affecting climate and economic activity of the population. The northernmost country in Southeast Asia is Myanmar and the southernmost is Indonesia. The westernmost country in Southeast Asia is also Myanmar and the most eastern is also Indonesia (Tugino, 2012).

Southeast Asia has tropical climate. There are two types of tropical climate, i.e. Equatorial climates (Equatorial) and Tropical Monsoon climate. Most of the Southeast Asia country around the Equator has Equatorial climate. Equatorial climate can be found in the territory of Indonesia (except for Bali, Nusa Tenggara, and parts of East Java), Brunei Darussalam, Malaysia, Singapore, Thailand, and the peninsula of the island of Mindanao, Philippines. Tropical monsoon climate can be found in the territory of Kampuchea, Laos, Viet Nam, Thailand (except the peninsula), Myanmar, the Philippines (except

the island of Mindanao), as well as Bali, Nusa Tenggara, and parts of East Java (Indonesia) (William H. Frederick, 2009).

Southeast Asia is a region that is unique because of the various political systems and government. At least there are four marks of government in Southeast Asia that contrast with each other, i.e. some republics such as Indonesia, the Philippines, East Timor and Singapore, Communist-socialist countries such as Viet Nam and Laos, constitutional monarchies such as Thailand, Cambodia, Brunei, and Malaysia, and the military junta as Myanmar (Helmys, 2013). It also has a rich history of varying civilizations that has resulted in a complex society today. Mobility among different nations has impact on all aspects of the culture, including religion. Some common religions in Southeast Asia are Hinduism, Buddhism, Christianity and Islam. With so many active religions throughout the area, Southeast Asia is one of the most religiously diverse regions in the world. In historical times, these nations practiced relatively religious tolerance. Today, however, that tolerance may be dissipating as some of the religious followers have begun to clash violently (World Facts, 2016).

B. Economic Condition in Southeast Asia Countries

The economic condition in most Southeast Asia countries is still classified as developing countries, only Singapore that classified as developed countries. The economy of Southeast Asia still depends a lot on the outcome of nature, with the exception of Singapore. With the establishment of a free trade area in Southeast Asia by ASEAN countries, it is expected to accelerate economic

growth in the region. So, here is the explanation of the economic condition of some countries in Southeast Asia.

1. Philippines

The economy of the Philippines is the fourth-largest in Southeast Asia and the thirty six in the world based on Gross Domestic Product (GDP). The Philippines has a mixed economy with major industries on the management of food, textiles, electronics, and automotive industry. Major industrial centers are moving in the field of food processing, textiles, electronics and automotive industry. The center of the industry generally is in Metro Manila and Metro Cebu. Agriculture still holds an important role in economic development in the United States and the Philippines. Japan has been the major export partners of the Philippines.

In addition, the People’s Republic of China (PRC), Singapore, Hong Kong, South Korea and Germany also became the largest export partner of the Philippines. Most of the exports of goods in the form of electronic components and semi conductors, besides natural results such as natural gas, coconut oil and fruits became the mainstay of the main field of the export of natural results. The Philippines joins several international economic forums such as ASEAN, World Trade Organization (WTO) and Asia-Pacific Economic Cooperation (APEC) (Sin, 2012).

2. Singapore

Before the independence in 1965, Singapore was a trading port that varied with the GDP per capita of $511, third highest in East Asia at the time. After independence, foreign direct investment and government efforts to plan are

based on the former Deputy Prime Minister of Singapore economy shaping today. Economist Intelligence Unit's quality of life Index is putting Singapore on the ranking of one of the best quality of life in Asia and eleventh in the world. Singapore has foreign exchange reserves of the ninth-largest in the world. After its GDP decreases-6.8% in the 4th quarter of 2009, Singapore got the title of world's fastest growing economies, with GDP growth of 17.9% in the first half of 2010 (Sin, 2012).

3. Indonesia

Indonesia, the largest economy in Southeast Asia, has seen a slowdown in growth since 2012, mostly due to the end of the commodities export boom. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting

growth. Indonesia’s annual budget deficit is capped at 3% of GDP, and the

Government of Indonesia lowered its debt-to-GDP ratio from a peak of 100% shortly after the Asian financial crisis in 1999 to less than 25% today. Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among its regions (The World Bank, 2016).

4. Thailand

Thailand became an upper-middle income economy in 2011 (The World Bank, 2011). Over the last four decades, Thailand has made remarkable progress in social and economic development, moving from a low-income country to an upper-income country in less than a generation. As such, Thailand has been one of the widely cited development success stories, with

sustained strong growth and impressive poverty reduction, particularly in the 1980s. However, average growth has slowed to 3.5 percent over 2005-2015. The government has embarked on an ambitious reform program to raise

Thailand’s long-term growth path and achieve high-income status (Thailand

Overview, 2016).

5. Myanmar

Myanmar is a country that has rich natural resources such as oil, minerals and precious stones, but Myanmar is a country with a per-capita income levels that are quite low compared to other countries in Southeast Asia. With its status as a developing country that has the low growth rate of the economy, Myanmar is not a weak country because Myanmar has a very strong military force that is one of the largest and strongest military forces in the Southeast Asia. Agriculture is the backbone of the economy of Myanmar where approximately 75% of the total population (54 million) works in the agricultural sector. Other major sectors are mining, trade and industry (The World Bank, 2015).

As a country that is controlled by the Myanmar military, Myanmar is always being the center of attention of the world and the international community with a wide range of global issues, as well as many of the alleged violations to it among other human rights violations, labor, democracy, and trade in narcotics. The issue of security and the rule of the Junta which has existed since the 1980s rendered some aspects that influenced the policy of embargo, both the economic embargo and the military embargo, against Myanmar. Embargo is also one of the reasons of the collapse of Myanmar

growth. In an attempt to resolve such matters, the Government is trying to do a good cooperation with the International Labor Organization (ILO), United Nation Special Envoy, United Nation Special Rapporteur on Human Rights and the International Committee of the Red Cross (ICRC).

6. Bangladesh

Bangladesh has maintained an impressive track record on growth and development. In the past decade, the economy has grown at nearly 6 percent per year, and human development went hand-in-hand with economic growth. Poverty dropped by nearly a third, coupled with increased life expectancy, literacy, and per capita food intake. More than 15 million Bangladesh people have moved out of poverty since 1992.

While poverty reduction in both urban and rural areas has been remarkable, the absolute number of people living below the poverty line remains significant. Despite the strong track record, around 47 million people are still below the poverty line, and improving access to quality services for this vulnerable group is a priority. There are also many people who could fall back into poverty if they lose their jobs or are affected by natural disasters (The Heritage Foundation, 2016).

7. Malaysia

Malaysia is rich in natural resources and its traditional economic strength lay in commodities. It is still an important source of tin and rubber, producing more than half the world’s palm oil, and is a exporter of oil and gas. Average daily oil production in 2013 was 657,000 barrels. Malaysia is a highly open, upper-middle income economy. Malaysia was one of 13 countries identified

by the Commission on Growth and Development in its ‘2008 Growth Report’ to have recorded average growth of more than 7 percent per year for 25 years or more. Economic growth was inclusive, as Malaysia also succeeded in nearly eradicating poverty.

Though extreme poverty is less than 1 percent, pockets of poverty remain and income inequality remains high relatively to other developed countries. Real income of the lowest is 40 percent of households increased by an average of 6.3 percent per year between 2009 and 2012 (The Commonwealth).

C. Potential and Condition of Strait of Malacca

After the economic condition of some Southeast Asia countries, the author would like to explain about the potential and condition of the Strait of Malacca. The Strait of Malacca is the waters of Southeast Asia, which links the Indian Ocean and the Pacific Ocean. The Strait is located between Sumatra and the Malay Peninsula. The International Hydrographic Organization, the non-governmental body in charge of documenting hydrographic and maritime limitations, has defined the Straits of Malacca as the following:

• On the West: From the northernmost point of Sumatra (Pedropunt) and

Lem Voalan on the southern extremity of Phuket Island, Thailand

• On the East: From Tanjong Piai on the Malaysian Peninsula and Klein

Karimoen, Indonesia

• On the North: The Southwestern coast of the Malay Peninsula

• On the South: The northwestern coast of Sumatra to the eastward city of

called as international cruise lines because some countries use it as crossing line for the fuels transports and materials industry of various countries, and causing some countries depends on security and safety of the Strait.

Figure 2.1 – Strait of Malacca Map

source: http://www.marsecreview.com/tag/malacca-strait/

Strait of Malacca is historically known as the busiest shipping lane in Southeast Asia. Its location is geographically connecting civilizations of Asia, and is also the line entries from the West Asian region toward Southeast Asia. The Strait of Malacca is a region that is important for world trade, because regardless of its location, the Strait of Malacca is known as the fastest and cheapest route even though there were a few other cruise alternatives. Around the Malacca Strait itself, there are five important international harbours; Singapore, Port Klang, Johor, Penang and Belawan (Goh Kim Chuan, 2005).

The sea-lanes of the Strait of Malacca is an important trade route of the world, primarily for countries in Southeast Asia. Over the years, the tanker

and bulk move large amounts of oil, coal, iron ore, and other minerals to the production centers in Southeast Asia and East Asia, while tens of thousands of container flow in the opposite direction to meet the needs of the consumer market in the world. Each year, more than 71,000 vessels pass through the Strait of Malacca to bring a diverse range of commodities ranging from crude oil to finished products from different regions of the world. Therefore, it is not redundant if the Strait of Malacca is considered one of the busiest sea routes simultaneously serves as the artery of the world economy (Goh Kim Chuan, 2005).

In terms of energy transport, more than two-thirds of the world’s liquefied oil and natural gas passes through the busy sea-lanes. This is three times more than the oil and gas cargo passing through the Suez Canal and fifteen times more than the fuel traffic transported via the Panama Canal. The Malacca Straits are also the “energy lifeline” for economic powerhouses like China, Japan, South Korea and Taiwan, as more than 80 percent of energy imports and exports pass through the Straits of Malacca and transit north through the South China Sea to reach their destinations in East Asia (Lutz, 2013). Countries like Japan, for example, which imports more than 98% of the crude oil it consumes, are wholly dependent on the Straits, since most ships that deliver the essential petroleum from the Middle East and Western Asia pass through them. So important are the Malacca Straits for energy transport that the U.S. Energy Information Administration estimates that approximately 13.6 million barrels of petroleum per day alone pass through the waterway, and possibly half of all seaborne oil shipments as well (The Economist, 2004). Japan’s Ministry of Land, Infrastructure, Transport,

and Tourism believes that the Straits will serve 114,000 ships annually by the year 2020. (International Hydrographic Organization, 2013)

In terms of responsibility, user nations come second to the littoral states, consisting of foreign countries that depend highly on sea-based imports and exports. China, Germany, Japan, and the United States all figure prominently as observer and user nations. This is because the trade of heavy user states is contingent on the security of the Straits of Malacca, and therefore critical for their economies. The important role of the Straits of Malacca also increased when the industry and economic in Asia developed. The World Bank calls the economy of East Asia-Pacific leading global growth amounted to 7.1 per cent in 2013, and is projected to achieve 7.2 percent in 2014. With the recovering of economy in the United States, Japan, and Europe, and an increase in the rate of growth in the second quarter of 2013, the developing countries in East Asia will benefit because the trade flows are large enough.

Trade from East and Southeast Asia reciprocates this exchange, and container ships with finished consumer products navigate the seas to Western Asia, as well as to European and East African nations, among other regions. Raw materials such as coal and iron ore are common cargo in the Straits of Malacca, and are hugely important for developing centers in East and Southeast Asia. By far the most valued cargo transported through the Straits is petroleum. Because of the various kinds of freighted goods that pass through the Straits, a number of different types of vessels traverse the Straits. These ships vary in size, shape, and function. Heavier shipments, like oil barrels and vehicle parts, are carried on very large crude carriers,

mainline tankers, liquefied natural gas (LNG) carriers, bulk carrier vessels, container ships, supertankers, or vehicle carriers, while less valuable or regional trade cargo is carried on small vessels, fishing ships, and wooden cargo boats. The term Malaccamax is used to note the naval architecture of shipping vessels that are able to traverse the Straits of Malacca’s rather shallow depths. (International Hydrographic Organization, 2013)

Needless to say, the Straits of Malacca face multiple security issues that

affect the three littoral states and the Straits’ user nations. In fact, its geographical position makes it not only valuable to the states that border the waterway, but also an intensely critical region for foreign countries dependent on trade passing between the Pacific and Indian Oceans. The Strait of Malacca has good opportunities but also keeps a high risk for regional and international trade. Threats on land also negatively affect the governments of the littoral states. Unbridled smuggling and destabilizing non-state actors, like separatist rebels, already dominate the political discourse and aggravate the capacity issues faced by the littoral governments. Pollution, piracy and international conflict may be the main threat that can disrupt the world trade and result in losses that could not be previously thought for the world economy. When an oil tanker was attacked by a pirate, and ran aground, causing an oil spill and prevented other ships to pass through the narrow lanes, the economic losses and environmental issues quickly gave rise to high costs and the impact of it that could not be seen before. In a short period of time, the economic loss is probably going to reach billions of euros. This confirms the critical role of the Straits of Malacca generally accepted for stability in the entire region and beyond it.

CHAPTER III

ROHINGYA CONFLICT 2012

In Southeast Asia, the ethnic or religion conflict among countries frequently occur, for example, Malays ethnic in South Thailand, the conflict in Aceh, North Maluku, West Papua and the latest conflict is between ethnic Rohingya and Rakhine State in Myanmar.

The violence broke out in 2012, when a group of Rohingya men were accused of raping and killing a Buddhist woman. Groups of Buddhist nationalists burned Rohingya homes and killed more than 280 people, displacing tens of thousands of people. Human Rights Watch described the anti-Rohingya violence as a to crime against humanity carried out as part of a "campaign of ethnic raid." Since 2012, the displaced population of the region has been forced to take shelter in squalid refugee camps. More than 120,000 Muslims, predominantly Rohingya, are still housed in more than forty internment camps, according to regional rights organization Fortify Rights.

A. History of Rohingya

Burma or more commonly known as Myanmar is a multiethnic country. Various ethnics living in this country. However, there was a lot of conflict due to the variety of ethnicities in Myanmar. Myanmar's internal conflict involving several ethnic groups not only happen once or twice. Conflicts between ethnic groups in Myanmar occurred until fall fatalities. Especially one of the very popular ethnic lately due to the actions of the eradication of

this ethnic called Rohingya. This ethnicity exists in Myanmar. Majority of Rohingya people are converted to Islam. While the majority of Myanmar embraces Buddhism. One might say Rohingnya is an ethnic minority in Myanmar.

The Rohingya are Muslims native to the northern Arakan region of Burma, which borders Bangladesh. The name of Rohingya is taken from "Rohang" or "Rohan," which was the name used for the Arakan region during the 9th and 10th centuries. According to Rohingya history, the group was descended from 7th century of Arab, Mughal, and Bengali merchants who settled in Arakan territory. The Rohingya live alongside the Rakhine, a people descended from Hindus and Mongols who make up the ethnic majority in the region. Rakhine state is one of the poorest areas in Myanmar with some of the worst development and social indicators internationally. The people of Rakhine have held a lot of resentment towards the national government of Myanmar for their lack of attention to the serious needs of the state. Rakhine state has one of the highest malnutrition rates in the country, poor infrastructure and over 1.5 times the national average of overall poverty. There has been little economic and structural development work or aid support in Rakhine, partially due to its incredibly remote and inaccessible nature, which has only further incensed the population when other parts of Myanmar are evolving quickly.

Rohingya is an Indo-Aryan ethnic group of Rakhine that also called as Arakan in Myanmar. Rohingya people use their own languages related to the Indo-Aryan languages in India and Bangladesh as it is different from majority of Burmese that use Sino-Tibetan. It is also known as Muslim

minority population living mainly in the state of Arakan, in Myanmar. Numbering around 1.3 million, they are concentrated in western Rakhine state, which neighbors Bangladesh (Singh, 2013).

During the British Raj, the Rakhine region was managed from Chittagong and Rohingya were able to move freely between these two regions. After independence of Myanmar from the British, the historical circumstances surrounding the status of the Rohingya allowed the Myanmar

government to label them as ‘illegal migrants’ and forced them out on

several occasions (Human Rights Watch, 2000).

In 1974, the Myanmar Emergency Immigration Act was signed into law, seeking for curtail immigration from Bangladesh, China, and India. All citizens were required to carry identity cards (National Registration Certificates) but Rohingya were downgraded to carry Foreign Registration Cards. In 1978, “Operation King Dragon” was put into force, “taking action against foreigners who have filtered into the country illegally”. Eventually, this operation escalated into abusive attacks on the Rohingya by local army forces. During the period of military rule, there were no attempts to assimilate the Rohingya into the wider Myanmar population while they were often subjected to violence. Their lands were stripped, people were forced into labour and the 1982 revised Myanmar Citizenship Law excluded Rohingya from the list of national ethnic groups, effectively turning them into stateless persons while leaving the question of nationality unresolved.

After the disputed elections in 1991, the Myanmar military commenced a campaign called Pyi Thaya (Operation of Clean and Beautiful Nation),

designed to reduce the political fallout from a controversial election in which

the military junta refused to accept Aung San Suu Kyi’s National League for

Democracy to win. Aware of the anti-Muslim sentiments among Rakhine Buddhist, the military junta sought to leverage the ill feelings created by brutal oppression of Myanmar in the region in a directed campaign against the Rohingya who were being used as scapegoats. This created an exodus of around 250,000 Rohingya refugees who fled to Bangladesh and Malaysia.

Since 1978, Bangladesh has represented the first destination of Rohingya asylum seekers, considering the proximity, the common religion, and-most importantly-because Bangladeshi authorities initially recognized the humanitarian needs of these undocumented Myanmar migrants. According to UNHCR, about 32,000 registered Rohingyas currently live in two government-run camps, near Cox’s Bazar, in Kutupalong and Nayapara, while it is estimated that an additional 200,000 unregistered Rohingya refugees live nearby in unofficial camps. Although it might seem a relief that this contingent of asylum seekers settled in a safer country, life in these camps is dire, as many of them live without enough food, and have very limited access to education and work opportunities.

Although Bangladesh has proven to be open to this minority, it is clear that it is not, or maybe cannot be, totally committed to finding a durable solution to this issue. After all, Bangladesh ranks among the poorest and most populated country in the region. This leads to national authorities being more focused on internal questions (in particular with reference to a possible labor market unbalance, as Rohingya would accept unskilled jobs at lower wages). Furthermore, Bangladeshi politicians have always regarded

Rohingya acceptance and settlement as temporary. Paradoxically, Bangladesh itself has considered this Myanmar minority as illegal migrants, denying them the possibility to obtain citizenship. Moreover, following the spring 2015 migration emergency, Bangladesh has turned away new migrants, and has declared on several occasions the intention to start a repatriation program. Luckily, this plan was not accomplished; however it gave rise to a “ping-pong” strategy with the other destination countries, Malaysia, Thailand, and Indonesia that evidently shows their reluctance to take any international responsibility.

Basically, the Rohingya want the same rights as others in Myanmar, starting with citizenship. Soon after President Thein Sein came to power in 2011, he stated the Rohingya do not exist and advocated for their deportation. The government says they are "Bengali," a term that implies they are all illegal immigrants from Bangladesh. They are not eligible for citizenship under the country's military-drafted 1982 law, because they are not on an "official" list of ethnic groups that had permanently settled in Myanmar since at least 1823. The legislation does provide an alternative, "naturalized" citizenship for Rohingya, but only for those willing to identify themselves as "Bengali." They also have to be able to prove their families have been in the country for at least three generations. That's difficult for members of the religious minority who have little in the form of documentation and are frequently uprooted.

Even those who gain alternative citizenship would continue to be discriminated against. The status falls short of full citizenship and would continue to deny Rohingya the right to own land, to run for office, to form or

lead political parties and to enter professional fields like law, medicine and engineering.

B. The Response of Myanmar Government Towards Rohingya

Although Rohingnya people live the region of Myanmar, but the government of Myanmar does not recognize them as the citizens. The starting point of Rohingya discrimination was in 1785, when Myanmar Buddhist from the south of the country conquered Arakan. They drove out or executed all of the Muslim Rohingya men they could find; some 35,000 of Arakan people likely fled into Bengal, then part of the British Raj in India. Since the 1970s and 1978, the military had a policy of discrimination on ethnic Rohingya. Political discrimination is further supported by the general public sentiment of Myanmar, in which it was said that the Rohingya were regarded as foreigners, not as people of Myanmar. The discrimination intensified in 1982, when the Citizenship Act was issued, so bad for Rohingya, having been revoked from their citizenship (stateless) (Saputra, 2012).

The international legal definition of a stateless nation is set out in Article 1 of the 1954 Convention relating to the Status of Stateless Persons, which defines a stateless nation as an ethnic group, religious group, linguistic group or other cohesive group which is not the majority population in any nation state. The term implies that the group "should have" such a state, and thus expresses irredentism. This is orthogonal to statelessness in the sense of an individual's complete lack of a legal nationality: members of stateless ethnic groups may be citizens/nationals of the country in which they live, or they

may be denied citizenship by that country. A stateless nation is an ethnic group or religious group who is not considered as a national by any state under the operation of its law. This means that a stateless nation is someone who does not have a nationality of any country. Some people are born stateless, while others become stateless over the course of their lives. The example of stateless nation in South East Asia region is Rohingya in Myanmar.

Another opinion says that, Rohingya people fled from their homes to neighboring countries, Bangladesh. There are about 300-400 thousand in Bangladesh. In that country, they are bred, but when returned to Myanmar they are difficult to be accepted as citizens of Myanmar. So is there on the Thai border.According to the Citizenship Act, which was amended in 1982 by Myanmar, Rohingya ethnic is not a part of Myanmar. They are also regarded as an illegal immigrant in his homeland. Along with the status of those who are not of any nationality, they began to experience a variety of difficulties, such as food shortages.

President Thein Sein said Myanmar would send the Rohingya away "if any third country was willing to accept them." He also said the same thing in front of United Nation High Commissioner for Refugees (UNHCR), responded the case which is happening in his country. The government also started discriminate them since 1948 by disarming, closing schools and burning mosques. Nowadays they do not give them the freedom to practice their religion as in performing Hajj for Rohingya because they were not given the identity from the government (Dawn, 2012).

Myanmar’s response to the problem has generally revolved around the

denial of citizenship to the Rohingya people. Such acts have often put it in violation of the ASEAN Charter, where issues such as well-being, equitable access to opportunities for human development, human rights and justice have not been given their due consideration when it comes to the Rohingya. The denial of the Rohingya as a problem also complicates and undermines any attempt for an effective regional solution in Southeast Asia.

Facing the discrimination, some Rohingya run away to Bangladesh and Thailand to look for a place of refugee. In this aspect, UNHCR as the international organization of United Nations tried to give aid to them in Bangladesh and Thailand. Unfortunately, in the border of Thailand they still get discrimination. Bangladesh also stopped receiving the aid from UNHCR because they do not want the number of Rohingya people who come to their country increases.

C. Countries Response to Rohingya

Responding to Rohingya case, numerous of international actors already took an action towards this problem and one of them is ASEAN, which in this case Myanmar is one of the members of this regional organization. ASEAN as the regional cooperation is trying to solve this problem by establishing an extended organization called ASEAN Intergovernmental Commission on Human Rights/AICHR), due to the Rohingya problem which is also aggravated by the lack of response from ASEAN Member States as well as the ASEAN Institution. This is ironic because since 2003, 10 ASEAN Member States have agreed to establish a political community in

the region by 2015 and since 2009 they have signed the ASEAN Charter (ACSC/APF, 2014). According to the Charter, ASEAN shall become a

‘people-oriented organization’ and there will be a Human Rights Body in

ASEAN, which is later known as ASEAN Intergovernmental Commission on Human Rights/AICHR.

It is also clear to make ASEAN Intergovernmental Commission on Human Rights (AICHR) works in dealing with Rohingya problems. AICHR should be given further authorities to facilitate state in dealing with Human Rights issues as well as preventing the human rights violation. Since AICHR is filled by state representatives, they should be given adequate knowledge on basic Human Rights issue so that regional awareness on ASEAN can be built, at least among ASEAN officials.

The regional cooperation towards Rohingnya problem should be done by ASEAN such as establishing Refugee institution. ASEAN has never been prioritizing refugee issue since this issue was not a dominant issue in the region. However, with the emergence of Rohingya problem, ASEAN Refugee institution should be established. This institution can coordinate with UNHCR to manage Rohingya refugee in many Southeast and South Asia states. Therefore, the internally displaced persons (IDPs) problem can be managed well in the region. These important decisions should be advocated in the upcoming ASEAN Summit (Umar, 2012).

In addition, in June 2013 ASEAN Parliamentarians for Human Rights (APHR) is a collective of lawmakers from Southeast Asia working to improve human rights responses and justice in the region. The organization

was established in June 2013 as a broadening of the ASEAN Inter-Parliamentary Myanmar Caucus and is part of wider efforts to advocate for an ASEAN regional human rights mechanism.

APHR will remain focused on the escalating crisis and determined to draw the attention and action of ASEAN’s leaders (Umar, 2012). This report is more than a detailed listing of warning signs. It also represents a call to action to prevent the further escalation and perpetration of atrocity crimes that will affect Myanmar and the entire region. APHR calls upon ASEAN’s leaders to take the following actions. First, they recognize the escalating crisis in Rakhine State and the plight of Rohingya as a serious danger to both Myanmar and ASEAN by prioritizing the issue in Summit meetings. Second, they also conduct an independent investigation of conditions and risks of increased violence and displacement in Myanmar, as well as associated risks to ASEAN, including greater refugee flows to countries like Malaysia and Thailand.

Third, they expand the mandate of the ASEAN Intergovernmental Commission on Human Rights (AICHR) to include country visits, inquiries, complaints, and emergency protection mechanisms, and ensure adequate independence and staffing support for its members. Fourth, they engage AICHR to conduct a follow-up investigation into the Rohingya crisis. Fifth, they deploy ASEAN monitors well ahead of the Myanmar elections to observe and report on the Rohingya crisis and broader anti-Muslim and ethnic minority dynamics.

Sixth, they utilize existing mechanisms in ASEAN, such as the ASEAN Troika, AICHR, the office of the ASEAN Secretary General, and the role of the AS EAN Chair, to respond appropriately to humanitarian crises in member states in accordance with the principles of the ASEAN Charter and the ASEAN Declaration on Human Rights. The last but not least, they commit to protect the fleeing from the crisis in Rakhine State, including by granting refugee status to Rohingya and providing the UN refugee agency with unfettered access.

Therefore, ASEAN cannot hide under its non-interference policy anymore or shut a blind eye to the gross human rights violations and state-sponsored genocide against the Rohingya. (ACSC/APF, 2014) ASEAN member countries must pressure Burma and lobby for the Rohingya to be recognized as the citizens of the country once again. While ASEAN

welcome the Myanmar government’s efforts at a peace process, this must

include the Rohingya as well. ASEAN leaders must push for Myanmar to

look into the Rohingya’s right to return to their homeland.

Myanmar and its neighbors see the Rohingya conflict and the trafficking of migrants in the region very differently, complicating the refugees’ plight, for example, Indonesia. As a Muslim majority country, Indonesia does pay extra attention to international conflicts involving Muslim populations. Indonesia has sought to intercede in regional conflicts involving Southeast Asian Muslim populations. Violence against Rohingya Muslims in Myanmar

has attracted Indonesia’s attention, as well as the attention of Indonesian

jihadis who have attempted retaliatory terror attacks. Indonesia has been able to do little on the issue beyond making concerned statements.

In the President Susilo Bambang Yudhoyono administration, Foreign affairs minister urges OIC to help resolve Rogingya issue. Foreign Affairs Minister at that time, Marty Natalegawa has urged the Organization of Islamic Cooperation (OIC) to play a more constructive role in the resolution of the issue of Rohingya people in Myanmar.

"The OIC must level its approach towards finding a solution for the Rohingya people. It has been repeatedly voicing strong statements, while Indonesia has been focusing more on action and the results emerging thereafter," said Mr Marty Natalegawa (Boot, 2012).

Natalegawa added that Indonesia, Malaysia and Brunei Darussalam will try to urge the OIC to play a more constructive and concrete role in the settlement of Rohingya issue, including problems related to sending humanitarian aid to the Rohingya people, their economic development and reaching a national reconciliation between the conflicted parties in Myanmar. Indonesia has actively engaged with the Rohingya issue by approaching both the Myanmar government and the displaced Rohingya people living in the Rakhine province. Indonesia has also been raising the subject at various international meets, such as at the UN, ASEAN and OIC forums.

Indonesian stance is clear, that Indonesia refuses and is against the discriminatory treatment of anyone and anywhere. Indonesia cannot tolerate this and is asking the Myanmar government to manage this issue as Myanmar moves forward toward democratization (Jakarta Globe, 2012). Indonesia would emphasize its opposition to any kind of human rights

violations, including the violence against the Rohingya in Myanmar. The government has been trying its best in the diplomatic efforts with Myanmar. Myanmar, meanwhile, has denied the communal conflict motivated by religion and rejected any effort to bring an international presence into the conflict. Foreign Affairs Ministry of Myanmar said in a statement:

“Peace and stability is indispensable for the on-going democratization and

reform process in Myanmar. National solidarity and racial harmony among different nationalities is vital for the perpetuation of the Union. Myanmar is a multi-religious country where Buddhists, Christians, Muslims and Hindus have been living together in peace and harmony for centuries, hence recent incidents in Rakhine State are neither because of religious oppression nor

discrimination,” (Saragih, 2012).

In contrast from the Susilo Bambang Yudhoyono Era, Joko Widodo administration gives different response to the issue of stateless and violation which is occurring in Rohingya. According to Minister of Foreign Affair of Indonesia, Mrs. Retno LP Marsudi, Indonesia is viewing in different point of view that every state should respects the other state democracy in this case Myanmar, although they had such a kind of internal problem. However, still another country cannot intervene other state`s policy including Indonesia. So, Indonesia decided to not use open diplomacy towards Rohingya problems to force and to persuade Myanmar in recognizing Rohingya ethnic in the name of respecting a state authorithy and sovereignty.

Another response comes from Bangladesh. Bangladesh is certainly closely tied to the Rohingya crisis because the politics surrounding these

people in Myanmar insists that they are Bengali people. There are also hundreds of thousands of Rohingya people living in the country. The Bangladeshi government, however, shows no sympathy for these refugees. The Prime Minister, Sheikh Hasina describes these people as “fortune

-seekers” and “mentally sick” and expressed concern that they are “tainting

the image of the country along with pushing their life into a danger.” (BBC

News, 2015).

In fact, she nearly equates the actions of people fleeing persecution with traffickers who are taking advantage of them and states that both ought to face punishment. She has historically been quoted as denying that the Rohingya people were the responsibility of Bangladesh, stating instead that

Bangladesh was “already an overpopulated country.” In the wake of the

2015 crisis, the government announced that they would relocate the Rohingya people living in camps to a small island away from the tourist spot where they were at the time. The Economist writes, this is “consistent with

Bangladesh’s long-standing policy of making itself as unappealing as

possible as a destination for Rohingyas.” (Hatiya, 2015).

Meanwhile in Malaysia, the journalists spotted when the Deputy Home Minister Wan Junaidi responded to Rohingya crisis saying that they have been very nice to the people who broke into their border. They have treated them humanely, but they cannot be flooding their shores like that. They have to send the right message that Rohingya are not welcome in Malaysia (Ivan Watson, 2015).

However, days later, Malaysian Prime Minister Najib Razak announced that Malaysia would help to deliver humanitarian aid and search for stranded Rohingya people in the Andaman Sea. A statement posted on his Twitter called these actions as “basic human compassion.” This is certainly a pressing issue for the nation as one of the primary locations where Rohingya people are trafficked. However, the government is adamant that while they are sympathetic to the needs of these people, they feel

unfairly burdened with the responsibility because they are not the “source”

of the problem. Prime Minister Najib Razak instead called for a response from larger bodies such as the ASEAN, the United Nations and the Organisation of Islamic Cooperation (Aljazeera, 2016).

Unlike Indonesia and Malaysia, Thailand did not agree to house displaced the Rohingya people even though Thailand is one of the major places where the Rohingya travel to when fleeing Myanmar. This journey is not often successful. In fact, near the beginning on May 2015, it was reported that authorities discovered numerous mass graves on the border between Thailand and Malaysia. Although they disagree to house displaced Rohingya, it did concede that it would not turn people away and would contribute aid (BBC, 2015).

Meanwhile, the Philippines has a history of accepting people into its borders from Jewish refugees during World War II to Vietnamese refugees during the Vietnam War and pledged to extend the same welcome to Rohingya people who land on their shores. Communications Secretary Herminio Coloma Jr., Justice Secretary Leila de Lima and Department of Foreign Affairs spokesperson, Charles Jose each released statements to this

effect, citing their commitment to the 1951 Convention Relating to the Status of Refugees and the 1954 Convention Relating to the Status of Stateless Persons (The Manila Times, 2015).

Response also comes from Singapore. The Foreign Affairs Minister, K Shanmugam said that the Singapore government will offer an initial contribution of US$200,000 (S$267,000) through ASEAN to support the efforts of countries such as Thailand, Malaysia and Indonesia that have been aiding Rohingya refugees. Singapore is concerned about the situation and welcomed efforts by countries, in particular Malaysia and Indonesia, which agreed to provide temporary shelter for the Rohingyas, said Mr Shanmugam. He said the financial aid is part of an ASEAN-led initiative, adding that Singapore is prepared to consider further assistance, if there are specific requests.

Mr Shanmugam said that the Rohingya crisis has raised two key issues - one is how to help those currently on boats and stranded at sea, while the other is the need to deal with the problem at its source. This would require looking at living conditions created by countries of origin as well as the criminal organisations putting them on boats, subjecting them to terrible conditions. He stressed that the countries where the refugees originated from should take responsibility, and both ASEAN and the international community needs to address this issue. The contribution of Singapore comes days after the Government said that it is unable to accept any refugees or those seeking political asylum because it is a small country with limited land (Sari, 2015).

CHAPTER IV

THE IMPACTS OF ROHINGYA CONFLICT TOWARD

ECONOMIC SECURITY

Rohingya conflict is one of the greatest conflict in the history of the Myanmar government. The conflict began to occur between Rohingya ethnic with Myanmar military junta government. Military Junta did not consider Rohingya ethnic in the Rakhine State as one of the ethnic groups residing in Myanmar. With no acknowledgment of Rohingya as one of Myanmar's ethnics and pressure from the military junta, Rohingya fled to escape from the pressures of the military Junta.

The conflict has a multidimensional impact on both national and regional sphere. Internally, serious human rights violation and political turmoil are taking place. Externally, the spillover effect of the conflict imposes potential regional economic security threats. Commonly, the mainstream of the concern was the role of the government and the human rights violations is caused by the conflict. However, the potential possibility of threat to regional economic security issues in East Asia cannot be taken for granted.

A. Affects on the Straits of Malacca

Straits of Malacca are situated in the bulk of Myanmar, and it is one of the most important shipping lanes in terms of strategic and economic perspective. This lane is extremely important for the region because major Asian economies like India, Japan, China, Indonesia and Korea are linked via the Strait of Malacca (Lotha G, 2013). Therefore, any kind of threat to that

particular zone could bring massive problem for trade and business transportations to the Strait, thus it is creating economic imbalance over the surrounding countries including Myanmar.

As Mr. Surin Pitsuwan, the Secretary General of ASEAN states “If the international community, including ASEAN, is not able to relieve that pressure and pain of the Rohingyas, conceivably, (the 1.5 million of Rohingyas) could become radicalized and the entire region could be destabilized, including the Straits of Malacca. Surin Pitsuwan declared that

such radicalization “would have wider strategic and security implications for

the region.” Since Arakan state is situated along the coast of Myanmar, Surin

fears the nearby Malacca Straits could become “a zone of violence like the

waters of Somalia.” As mentioned earlier, Malacca strait is one of most

important place because it produces approximately one third of the oil of the world and the place for traded goods transiting in the straits. Militant activity against the sea-lane would jeopardize the economies of East Asia and Southeast Asia (Ririhena, 2012).

A report from the United Nations High Commissioner for Refugees (UNHCR) reveals that the Strait of Malacca has become a favorable alternative route for boat people to reach Australia, while they are also crossing some regions of Indonesia and Malaysia. After arriving in Sumatra, refugees go to Jakarta by bus and then fly to Makassar or Kendari to board other boats to reach Australia, according to the report. Such a journey (via Malacca) has consisted of day-long trips on boats and traverses with one of two routes, from Klang, Malaysia to Medan, Indonesia, and from Johor Baru, Malaysia, to Batam or Tanjung Pinang, Indonesia, the report said, adding that

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