Indonesian President Megawati Sukarnoputri has signed two emergency anti-terrorism decrees amid international pressure to move against suspected militants in the wake of the Bali bombing.

Under pressure: President Megawati

An anti-terrorism bill had been languishing in parliament for months, held up because of concerns the measures undermined human rights.

But political leaders said the Bali attack - which left nearly 200 dead - had transformed the legislation into an act of necessity.

However such anti-terrorism laws are extremely controversial in Indonesia, where previous governments have seriously abused security laws.

The country is struggling to build a strong democracy following decades of authoritarian rule under presidents Sukarno and Suharto.

Dictatorial history

Before the Bali bombing, the government repeatedly stressed that it did not want to adopt the strong-arm tactics of neighbours like Malaysia and Singapore, where suspects can be held indefinitely without trial under controversial internal security laws.

Dictator Suharto ruled Indonesia with an iron fist

Sidney Jones, project director at the conflict-resolution organisation International Crisis Group, has said there are serious concerns over the extent to which the military may be given a role in fighting terrorism.

The military had been losing some of its powers as the country stressed the need for democracy.

Any anti-terrorism legislation, Ms Jones said, had the potential for alarming people because "the word terrorism is so loaded, and most anti-terror laws are designed to be harsher" than ordinary laws.

Activists are wary of any laws that could stifle hard-won freedoms which have only been available since 1998 when former President Suharto fell from power following widespread rioting.

His dictatorship was accused by human rights activists of illegally detaining opponents of his three-decade long rule.

Indonesians are now proud of their free press and their new-found tradition of protest against the government since mobs succeeded in ousting Suharto.

Anti-terrorism legislation has been deeply unpopular with some Muslim groups who fear it could be directed against them.

President Megawati's coalition government relies on the same Muslim groups for support, and it is widely believed that this will force her into treading carefully.