JAKARTA, Indonesia (CNN) - With troops in the capital ready to control any new demonstrations, Indonesian President Suharto promised to answer the burgeoning criticism of his rule on Tuesday.

On Monday, the speaker of Parliament said the country's political factions would ask for Suharto's resignation. The all-powerful military quashed that idea.

A presidential aide said Suharto would respond to the parliamentary challenge on Tuesday. "I will answer this myself tomorrow (Tuesday)," Suharto was quoted as saying by army Lt. Gen. Moetojib, chief of state intelligence.

Suharto is expected to take a hard line against his critics, but the aide offered no further details about Suharto's planned response.

The Indonesian military refused on Monday to support calls for Suharto's resignation, endorsing instead the embattled leader's plan to reshuffle his Cabinet.

Earlier Monday, Speaker of Parliament Harmoko said leaders of the various political factions would meet Tuesday and ask the 76-year-old leader to step down.

However, Gen. Wiranto, who commands the country's military, said the demand represented only the views of individuals.

In a terse statement at a brief news conference at the military's headquarters in central Jakarta, Wiranto said, "The statement made by Harmoko is an individual statement, even though it was made in a collective manner. According to the constitution, it does not have legal power."

The general said any change in power would have to occur "constitutionally," a process that could take months or longer.

Wiranto said any demand on Suharto to quit must be made by the whole Parliament in a formal session. And with the backing of the military, the autocratic Suharto is in a strong position, despite daily calls for his ouster from thousands of student protesters.

Moetojib met with Suharto Monday afternoon and said the president appeared to be calm.

Reform council to be set up

Suharto has held sway over the world's fourth most populous nation for 32 years. Many of his compatriots have never known another president.

Yet, with more than 500 people dead in rioting in the capital, there have been signs for several days that the hard-line leader was losing his grip over this economically struggling Southeast Asian nation of 200 million people.

The official Antara news agency quoted insurance experts as saying the damage done in Jakarta alone was more than 10 trillion rupiah ($1 billion).

India became the latest country to begin evacuating its citizens from Indonesia as a series of flights took 2,000 Indians out of Jakarta.

Wiranto said the most important task is for Suharto reshuffle the Cabinet and carry out reforms to overcome the worst economic crisis in 30 years to hit Indonesia.

He also said that a reform council made up of government members, students, critics and other members of society would be set up to work with Parliament.

The idea of such a council was supported Monday by U.S. President Bill Clinton, who said "We want this country to come together, not come apart."

Speaking at a news conference after the U.S.-European Union summit in London, Clinton urged the Indonesian military to use restraint in the riot-torn country.

"What we're looking for now, and what we're going to be working for, is the restoration of order without violence and the genuine opening of political dialogue that gives all parties a substantial feeling they're part of it," he said.

General critical of protest plan

Wiranto issued a stern warning against further unrest and was especially critical of a plan by students to stage a mass anti-Suharto rally Wednesday, the anniversary of Indonesia's nationalist movement.

"There are still people suffering because of the rioting and looting," Wiranto said.

Organizers have predicted that as many as 1 million protesters would hit the streets of the capital and other cities.

Analysts say Harmoko would not be leading the move in Parliament to oust Suharto unless he was confident the Indonesian military -- a key power broker in the crisis -- agreed with it.

Harmoko has the power to call an emergency session -- a step that would be necessary for the Parliament to demand that the president step down.

But Harmoko did not say he was taking that step. He said only that it would be wise for the President to resign.

If Suharto were to step down, the presidency would pass to Vice President Jusuf Habibie.

Cabinet minister resigns

Last week's riots, and fears that Wednesday's demonstrations would provoke more, sent the stock and currency markets into another nose-dive, but both pulled back a little after Harmoko's statement.

"Even the most daring speculators prefer to stay away. The risks are enormous. We don't know where things are going," said one stockbroker.

Adding to the uncertainty, Tourism Minister Abdul Latief offered his resignation. Some sources said he had personal reasons, others that he was fed up with the slow pace of reform.

Whatever his reasons, it was the first break in the Cabinet ranks since Suharto appointed his ministers after his re-election in March.

Harmoko's statement confirmed that the prevailing opinion is that nothing less than the departure of Suharto would stop the country's slide into a pit of economic and social despair.

Suharto has cultivated an image of impregnability over the years, jailing and muzzling many opponents and skillfully playing off potential challengers in the government against one another.

But in recent days, he has repeatedly said that it is "not a problem" for him to step down if the people wish it. He is currently serving his seventh five-year term, which ends in 2003.

Jakarta Bureau Chief Maria Ressa and The Associated Press contributed to this report.