I'm pretty sure this is a late stage of Kawi, the script that descended from south Indian Pallava and gave rise to modern Sundanese, Javanese and Balinese scripts. The Old Kawi period lasted from about 925-1250 and modern Kawi from then until around 1500, when the new scripts were clearly differentiated. This example looks very close to modern Javanese or Balinese, without the exaggerated on- and off-strokes they developed.
Here's a link to a book article with a table of Kawi variants:http://books.google.com/books?id=y3KdxB ... pt&f=false
Here is another picture of the same cloth, with more visible: http://www.flickr.com/photos/boz_art/28 ... 31#preview
I can't help wondering if some of the letters were printed backwared, i.e. it might not be a real text. The letter that looks like 13, joined at the base, is identical for all intents and purposes to Kawi <m(a)> except that it is flipped horizontally from what the letter usually looks like. Otherwise, most of the other letters are easily recognisable as Kawi, apart form the strange one with a circle written inside it and another one with a vertical stroke through the middle.
There is speculation that Kawi might also be the origin of the scripts of North and South Sumatra, Sulawesi and the Philippines, but specialists in Kawi find it difficult to believe these scripts could have changed so radically from Kawi while the evolution of the scripts on Java and Bali was so leisurely and only changed their appearance superficially.