Soekarno conveyed the recognition of sovereignty by the Dutch (Photo: Spaarnestad)
After the proclamation of Indonesian independence, the Dutch, who did not accept it, tried to return to power in Indonesia. As a result, for almost 5 years Indonesia still had to face a physical and diplomacy war against the Dutch.
After a prolonged war and increasing international pressure, the Dutch finally agreed to leave Indonesia after going through an agreement known as the Round Table Conference.
The photo above was taken when President Soekarno announced publicly that the Dutch had agreed to leave Indonesia at the end of 1949. This event is referred to as the transfer of sovereignty by the Dutch, but Indonesia calls it an acknowledgment of sovereignty.
The two terms have different political implications. The transfer of sovereignty means that the Dutch surrender sovereignty to the Indonesian government, meaning that the Dutch did not recognize their military aggression as a violation of Indonesian sovereignty.