Modi's Indonesia visit: Towards one of India’s most valuable strategic partnerships

Prime Minister Narendra Modi's upcoming visit to Indonesia presents a crucial opportunity to transform a historically significant but under-realized bilateral relationship into one of Asia's most valuable strategic partnerships. India and Indonesia, the two largest democracies in the Indo-Pacific and influential voices of the Global South, share strategic interests and civilizational ties, yet their contemporary partnership has not reached its full potential.

The agenda for Modi's visit includes expanding cooperation across key sectors such as digital technology, defense, critical minerals, and maritime security. This focus builds upon agreements made during Indonesian President Prabowo's visit to India in January 2025, which marked the 75th anniversary of diplomatic relations and broadened the scope of collaboration to include health, digital cooperation, and cultural exchanges.

Historically, India and Indonesia have enjoyed strong goodwill, stemming from their cooperation during anti-colonial movements and their shared support for a multipolar international order. This political foundation has facilitated steady growth in naval cooperation through joint patrols and exercises, deepened defense ties with Indonesia showing interest in Indian defense equipment, and fostered vibrant cultural exchanges. Indian investment in Indonesia has also seen gradual growth.

However, the economic dimension of the relationship remains modest. With bilateral trade around $30 billion, it falls short of its potential. Indian investment, while growing, is considerably less than that of other major Asian economies like China, Japan, South Korea, and Singapore. The visit aims to convert diplomatic warmth into resilient economic supply chains and unlock greater economic potential.

The current strategic environment further enhances the desirability and achievability of a stronger partnership. Both nations increasingly see themselves as leading voices of the Global South, advocating for reforms in global governance, equitable development financing, and improved access to technology. Their complementary strengths offer a practical basis for cooperation, with Indonesia looking to India's recent successes in digital governance and public service delivery as a model for its own development.