 However, the Netherlands sought to reclaim the Indies, and a bitter five-year diplomatic, military and social struggle ensued, resulting in the Netherlands recognising Indonesian sovereignty in December 1949.Until 1942, Indonesia was colonised by the Netherlands and was known as the Dutch East Indies.In 1929, during the Indonesian National Awakening, Indonesian nationalist leaders Sukarno and Mohammad Hatta (later founding President and Vice-President), foresaw a Pacific War and that a Japanese advance on Indonesia might be advantageous for the independence cause.