I answered a question on Quora about this topic, I put my answer on Quora into my blog as well
https://www.quora.com/Why-is-Indonesia-behind-Malaysia
Many well-written answers have been provided, so I’ll just make it up here and there at some points according to my perspective
From a general point of view, I always say that it is INJUSTICE to compare Indonesia and Malaysia comprehensively, because the difference in area size and population number are very huge. However I’ll put this fact aside and continue my comments below
Yes, let’s make it clear, British are ‘better’ colonialist than Dutch. Especially in legacy. Say, education, law and political system, infrastructure, town and village facilities. I think we have many sources for this.
In Indonesia, we are VERY PROUD with the fact that we FOUGHT for our independence with flesh and blood sacrifice. Thus why some of us sort of underestimating other country’s independence which were results of ‘peaceful’ negotiation like Malaysia, India, etc.
But in retrospective, Malaysia especially gained a lot from relatively ‘smooth’ transition from colonialism and protectorates → Independence country. We just need to see one war, Surabaya 10th of November, how British troop (yes British, not Dutch, we murdered high-level British General prior to the war in October 1945) almost 100% destroyed the 2nd biggest city in Indonesia, which we remember as our National Hero Day. And we have SO MANY wars all over our huge archipelago
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