Democracy development in Indonesia is a vivid example of the interaction between democracy and Islam. The specifi city of these relations lies in the fact that the country has the largest Muslim community in the world. From an analysis of modern sources on the interaction of democracy and Islam, one may conclude that there are three distinct lines in Indonesia: radical, moderate and “our own way.” At the state level, Indonesia has maintained a democratic system while trying to modernize it and combine it with the principles of Islam. However, the current situation in the country, caused by the growth of religious confl icts, has led to a sharp decline in its democratic index in 2017 — and the tense situation ahead of the upcoming general parliamentary and presidential elections does not allow for a prediction of a decline in the escalation of internal confl icts in the near future.