The existing cabinet was dismissed and Sutan Sjahrir was asked to become prime minister.

The government was intended to be inclusive, with representation from the nationalist and the religious parties, the latter grouping being represented by the PSII.

The following day, Muhammad Natsir took over Amir Sjarifuddin's job as Minister of Information.

[4] The Sjahrir cabinet fell as a result of the conflict between the Struggle Front of opposition politician Tan Malaka and Sjahrir over the latter's readiness to compromise with the Dutch before their colonial army had left Indonesia.

Tan Malaka demanded a cabinet of national unity which secured widespread public support, prompting Sjahrir's resignation on 28 February 1946.