"This is the moment for us to give priority to the surveillance and defence of our territory," she told members of the People's Consultative Assembly (MPR), Indonesia's highest constitutional body whose annual session opened Friday.

"This is the moment for us to have a clear and firm attitude to provide for the tools and infrastructure that are needed. We must have a clear and firm attitude to develop the land, sea and air forces to a minimal strength," she said.

Rights activists allege the Indonesian Armed Forces have regained political strength during Megawati's two-year-old administration.

Indonesia is the world's largest archipelago and Megawati said the nation's airspace and waters have "for long enough" been violated by foreigners.

But she said tracking down suppliers of military equipment was difficult.

"Rules and regulations that sometimes don't make sense...are increasingly attached to the buyers and the utilizing of the equipment," she said.

The US administration halted most military contacts with Indonesia over the 1999 bloodshed in East Timor and says they will not be restored until soldiers are held to account for abuses.

The US House of Representatives recently approved an amendment to deny Indonesia military assistance funds under 2004 spending bills.

Indonesia this year agreed to buy four Sukhoi jet fighters and two attack helicopters from the Russian government under a counter-trade scheme.

Britain has appealed to Indonesia not to use its British-made Hawk aircraft during its continuing campaign to crush Free Aceh Movement (GAM) rebels in Aceh.

Indonesia denies it had agreed not to use the aircraft for offensive operations.

On May 19 the government declared martial law for six months in Aceh and began its largest military offensive in 27 years.

During her speech, Megawati said the government did not want Aceh's emergency situation to go on for a long time. She thanked the military and police for re-taking territory from the rebels.

WAR.WIRE