Indonesia, Switzerland to ink critical minerals deal, boost OECD accession support

Indonesia and Switzerland are poised to expand their partnership into the critical minerals sector with a non-binding memorandum of understanding (MoU) set for signing on June 23, 2026. Coordinating Minister for Economic Affairs Airlangga Hartarto announced the upcoming agreement following a meeting with Swiss Federal Councilor Guy Parmelin on the sidelines of the OECD Ministerial Meeting in Paris.

During their discussion, Switzerland reiterated its backing for Indonesia's accession to the OECD. This support includes a 3 million euro contribution and a Swiss cooperation program for 2025-2028, focusing on capacity building in Responsible Business Conduct principles and adherence to OECD legal instruments. Indonesia is currently engaged in discussions regarding 240 OECD legal instruments across 32 chapters.

The ministers also addressed economic cooperation, including Switzerland's potential support for Indonesia's sovereign wealth fund, Danantara, which is exploring international bond issuance to attract foreign capital. Discussions also covered investment governance practices and efforts to manage state-owned enterprises.

Furthermore, the meeting touched upon energy and food resilience amidst global geopolitical uncertainty. Airlangga highlighted Indonesia's strategies to mitigate risks, such as diversifying oil import sources and achieving food self-sufficiency to ensure price stability. The countries are also expanding cooperation in the energy sector through an agreement on smart grid development and battery storage technology, aimed at supporting solar energy use in Indonesia.

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This will expand partnership between both countries into critical minerals sector.