This chapter examines why Indonesia adopted a democracy after independence, despite the analytical framework’s expectation of personalist rule following nationalist-led decolonization. Indonesia’s fragile democracy emerged due to two structural features of its independence movement: internal factionalism and societal pluralism. Although President SukarnoSukarno initially aimed to establish a one-party dictatorship, competing elite factions—especially between cooperative and combative camps toward the Dutch—prevented such consolidation. Additionally, Indonesia’s ethnic, religious, and regional diversity led to a fragmented independence movement, which translated into a competitive multi-party system. Independence achieved through negotiations, under international scrutiny, also reinforced democratic choices. Despite early electoral success and a vibrant party system in the 1950s, deep social cleavages, military rebellions, and Sukarno’s eventual alliance with the military and communists led to the collapse of democracy in 1959. This chapter highlights how internal elite rivalry and societal diversity initially enabled democracy but ultimately contributed to its downfall.