The recent rise in radical Islamic movements in Indonesia, the world’s most populous Muslim country, has caused grave concern in the United States, which claims that some of Indonesia’s religious militants have ties to al Qaeda. Indonesia, a vast archipelago of rampant poverty, porous borders, and little rule of law, is considered a fertile breeding ground for radical Islamic movements. This research project will examine the roots and the causes of expansion of Islamic extremism in Indonesia and its impact on Indonesia’s democratization and economic recovery. No government can begin to address extremism without first understanding where it comes from and what feeds it. Comprehending the political, social, and economic underpinnings of Indonesia’s religious militants is crucial to formulating effective policies to deal with them and avoiding potentially costly mistakes. This analysis will serve as a basis to formulate appropriate policy measures that the United States can take to counter these radical groups. The main sources of research and information for this project will come from extensive reporting in Indonesia and the United States. There will be one or two trips to Indonesia to conduct in-depth interviews with religious scholars, government and military officials, and leaders and disciples of several radical Islamic groups. A study group will be convened to guide the project director in his research goals, serve as a “sounding board” of ideas, and critique and comment on draft sections as they are being written. The project director will write a major article to be published in a policy journal. Research from this project may also appear in op-eds in the mass media.