Indonesia Committed to Expanding Global Economic Cooperation Amid Geopolitical Shifts

Indonesia reaffirms its commitment to broadening international economic cooperation as it navigates a complex global geopolitical landscape. Coordinating Economic Minister Airlangga Hartarto highlighted the need to bolster collaboration and diversification strategies to construct a resilient global economic framework capable of withstanding current pressures.

Speaking at the Brussels Economic Security Forum (BESF) 2026 in Belgium, Airlangga noted that the international economic order is undergoing significant changes. He stressed that rebuilding this framework requires maintaining openness while simultaneously enhancing economic resilience. The minister pointed to geopolitical conflicts, such as those in the Strait of Hormuz and the Red Sea, as evidence of how security disruptions can impact supply chains, investments, and global economic growth.

In response, many nations are implementing policies to strengthen economic security, including industrial strategies, investment screening, and export controls. Airlangga outlined Indonesia's strategies for bolstering national economic resilience and discussed the progress of economic cooperation with the European Union, including the ongoing Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU CEPA) negotiations.

Despite global uncertainties, Indonesia's economy has shown resilience. The country recorded 5.61% year-on-year growth in the first quarter of 2026, maintained controlled inflation, and secured strong foreign exchange reserves. Furthermore, Indonesia has achieved a trade surplus for over 70 consecutive months. The government is actively pursuing economic transformation through industrial downstreaming, manufacturing development, digital transformation, and green economy initiatives, aiming to strengthen its position in global supply chains for sectors like electric vehicles and renewable energy.